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Brazil Property News: Attractive economy lures investors to Brazil's retail sector
8th April 2008 06:30
Brazil's attractive economy draws in foreign investors to its shopping centres, according to an industry body.
The Brazilian Association of Retailers (Alshop) said that foreigners have been lured in because of consistent growth in shopping centre retail and the economy's booming performance.
Alshop's market relations director, Luis Augusto Idelfonso da Silva, said that the government's income distribution programme had improved income in poorer populations and in turn increased consumption, boosting the sector, ANBA reports.
The Brazilian Association of Shopping Centres (Abrasce) estimates that 7.5 billion Brazilian reals (£2.2 billion) of foreign capital has been invested in the shopping centre sector over the last three years.
Marcelo Carvalho, Abrasce's chairman, said that foreign interest in Brazil's sector had grown in 2006 and 2007 and the nation was a world leader when it comes to participation in shopping centres.
He added: "In developed nations the market is already saturated.
"The players, therefore, have started eyeing the world and found in Brazil sophisticated enterprises and a mature industry."
A booming economy could be good news for those considering buying property in Brazil as it may be seen to underline the nation's prosperity.
Last month, Associated Press reported that Brazil's economy beat economist's predictions and grew by 5.4 per cent in 2007.
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