Brazil will ‘flourish’ in 2009
Emerging markets such as Brazil will "flourish" in 2009, according to an analyst, Brazilian property investors may be interested to learn.
Martin Hutchinson, writing for breakingviews, says countries such as Brazil "don’t rely heavily on foreign capital and have large reserves of foreign currency … They can stimulate their own economies and pick up bargains elsewhere".
He cites Merrill Lynch figures which showed Brazil’s domestic securities increased by 6.6 per cent in December.
Growth in 2009 will be concentrated in emerging markets, he says, with large savings, "domestic momentum" and "relatively clean banking systems" helping Brazil to flourish.
The value of the country’s currency rose last week following speculation that governments around the world will take measures to increase economic growth, Bloomberg reported.
Reginaldo Galhardo, currency-trading manager at Treviso Corretora de Cambio in Sao Paulo, told the news provider that investors are attracted to the country when good news comes from global financial markets.
