Brazil: Business confidence increases in May
May 28, 2013
In May, the business confidence index published by the Getulio Vargas Foundation (FGV, Fundacao Getulio Vargas) increased a seasonally adjusted 0.8% over the previous month to 105.0 points. The rise reflected an increase in the present situation index, whereas the expectations index retreated over the previous month.
As a result of the increase, the index has now remained above the 100-point threshold for almost four years, indicating that optimism prevails among businesses. That said, business confidence is still well below the post-crisis peak of 116.5 points recorded in March 2010.
LatinFocus Consensus Forecast participants see fixed investment expanding 4.5% in 2013, which is up 0.1 percentage points from last month's forecast. For 2014, panellists expect fixed investment growth to accelerate to a 6.1% expansion.