Brazil became attractive investment object due to good coffee
On the eve of May holidays the international rating agency Standard and Poor’s (S&P) has raised a sovereign credit rating of Brazil on one item - from “Ð’Ð’ +” up to the “BBB-” level .
Increase of S&P rating has entered Brazil into club of the countries with a sovereign investment category rating. And the first role in this increase, in analysts’ opinion, was played by successful sales abroad of various Brazilian raw materials.
In Brazil real exchange carnival, with a champagne, congratulation of all Brazilians on behalf of the President and rise of leading exchange index Bovespa at once on 5 % has begun.
Making comments concerning increase of country’s rating, S&P analytics have emphasizes essential decrease in external duty, strengthening of the Brazilian institutes, and also the improved tendencies to growth. However, the main reason of increase of a rating relies in growth of trading balance proficiency and accumulation at his expense a huge reserve by Brazilian Central Bank.
Trading proficiency, in turn, increases due to sale of the well-known Brazilian coffee and hardly less well-known orange juice, and also grain, meat, ethanol, ore, metals, oil and gas. The proceeds from them make about two thirds of proceeds of the country.
Notwithstanding the fact that after increase of S&P rating the rate of the Brazilian real to dollar has become stronger more than on 3 %, export of the Brazilian raw material will not suffer from it: competitiveness is kept owing to a rise in prices on the specified raw material abroad.
