A strong economic rebound is underway according to the reserve bank president Roberto Campos Neto, who stated that the bank’s prevision for a 6.4%GDP recession over 2020 is too pessimistic.
By JERUSALEM POST PERSONNEL
JULY 27, 2020 04: 51
A male shows nationwide flag of Israel as supporters of Brazil’s new President Jair Bolsonaro collect outside the Planalto Palace ahead of Bolsonaro’s swear-in ceremony, in Brasilia, Brazil, January 1,2019
( photo credit: SERGIO MORAES/ REUTERS)
Brazil holds a sad record in 2020 as one of the countries with the greatest death rates in the world with more than 2.2 million COVID-19 cases. Brazilian President Jair Bolsonaro, who didn’t take the threat seriously from the start of the pandemic, stays in self-isolation at his main house in Brasília after evaluating favorable for the coronavirus for a 3rd time in two weeks previously this week.
A strong economic rebound is underway, according to the central bank president Roberto Campos Neto, who stated that the bank’s prevision for a 6.4%GDP recession over 2020 is too pessimistic. He added that the economy has actually begun a “V-shaped” healing which strong bottled-up need will be seen in the coming months.
For Israeli business, whose Brazil is among the country’s biggest trade partner with annual commerce estimated at $1.5 billion, this is good news. This cooperation between the two nations led to the opening, six-and-a-half years earlier, of a second Economic and Trade Objective in Rio in addition to the one that long existed in Sao Paulo, among 44 economic missions ran worldwide by the Ministry of Economy and Market.
” Brazil got in 2020 with really high expectations. The projections for 2020 were great and everybody was waiting on this year, which obviously likewise led to a boost in trade with Israel in 2019 and 2018,” Taly Segal, who heads the Economic and Trade Mission to Rio de Janeiro, told CTech. “At first, business put whatever on hold, waiting to see how the pandemic would unfold. We would get numerous responses like ‘let’s talk after the end of coronavirus.’ From around the middle of May that approach has altered, and we began to feel that organisations comprehended that they require to adapt to this brand-new situation, and we are seeing much more cooperation.”
Brazil has balanced over 1,000 deaths per day because completion of May, with the overall death toll presently at 84,207 and is placed right after the US COVID-19 cases on the planet.
” This is an international crisis and Brazil can’t escape it,” added Segal. “However the country is starting to get back on track and this provides opportunities for Israeli business. Israel’s innovation is precisely what is required here, with companies wanting to become more effective.”
Israeli tech in the fields of food tech and wise cities is popular in Brazil, while in Rio, Segal’s primary focus is on the energy, mining, health and education sectors and the Brazilian administration with which she already closed contracts.
She is confident that in spite of COVID-19 destruction, the recovered Brazilian economy might utilize the help of Israeli innovations.
” Considering that I arrived here two-and-a-half years ago matters have actually just enhanced, both from an economic standpoint and also as far as the relations with Israel go. Israeli innovation has a very good reputation and Brazil has opened to innovation over current years,” said Segal. “Every business has its development department or officer, and we are receiving increasingly more methods. I do not think the pandemic will stop that, however it has definitely changed the format in which we operate.”
” The monetary circumstance will have an impact, but I think that other opportunities will arise, as we are seeing more openness from the Israeli side to check out the Brazilian market. We constantly viewed Israel and Brazil as complementary economies. Brazil is a nation with many resources and is interested in adopting Israeli technologies. This crisis will just accelerate this procedure.”