facts and info to investors in brazilian infrastructure

Facts & Info to Investors in Brazilian

Infrastructure

Maurício Jayme e SilvaMarch, 13rd, 2011

Facts & Info to Investors in Brazilian Infrastructure

• Brazilian Economic Backgrounds

1. GDP Average Growth (%YoY)

a. 1998-2002 – 1.7%b. 2003-2008 – 4.2%c. 2009 – 0.2%d. 2010 – 2014 – 5.5%*

i. 2010 – 7.5%ii. % change from preceding yeariii. * Ministry of Finance forecasts

Source: Brazilian Economy Outlook – August/September 2010Brazilian Ministry of Finance


2. Domestic Demand in the composition of GDP Growth (%YoY)

a. 2006 – 5.3%b. 2007 – 7.5%c. 2008 – 7.4%d. 2009 – 0.3%e. 2010 – 10.3%*

i. 2010 – the highest level in recent years

ii. % change from preceding yeariii. * Ministry of Finance forecast




3. Growth Rate of Real GFCF – GDP deflator (%)a. 2006 – 7.5%b. 2007/2008 – ≈ 15.5%c. 2009 – 17.2%d. 2010 – 15.9%

1. In 2Q 20102. By late 2010, investments were

expected to reach 19.1% of GDP. Consolidated data are still not avaiable.




4. IPCA Inflation Index (% YoY)

a. 2006 – 3.1%b. 2007 – 4.5%c. 2008 – 5.9%d. 2009 – 4.3%e. 2010 – 5.9%

i. Brazilian Inflation Target: 4.5%ii. Lower and Upper Bounds: 2%iii. % change from preceding year




4. SELIC Interest Ratea. Nov/10 – 10.75%b. Dec/10 – 10.75%c. Jan/11 – 11.25%d. Feb/11 – 11.25%e. Mar/11 – 11.75%

i. % change from each 12-month period, median of expectations, accum. for the next 12 months – October 1st, 2010



• Infrastructure Investment in Brazil

1. Mapped Investments in Infrastructure 2011-2014

Source: Brazilian Economic Insights – Feb/11 – Brazilian Development Bank (BNDES)

Sectors R$ Billion %

Electric Energy 139 36.48%

Telecommunications 72 18.90%

Sanitation 41 10.76%

Railway 60 15.75%

Highway Transportation 51 13.39%

Ports 18 4.72%

Infrastructure 381 100%


• Infrastructure Investment in Brazil

2. Growth in Mapped Investments in Infrastructure 2011-2014

Source: Brazilian Economic Insights – Feb/11 – Brazilian Development Bank (BNDES)

Sectors R$ Billion Growth 06-09 11-14 % % p.a.

Electric Energy 104 139 34% 6%

Telecommunications 62 72 15% 2.8%

Sanitation 26 41 57% 9.4%

Railway 20 60 202% 24.7%

Highway Transportation 30 51 71% 11.4%

Ports 5 18 225% 26.6%

Infrastructure 247 381 54% 9%


• Industries potencially interested in investing in Brazilian Infrastructure

1. DIRECTLYa. Ports & Airportsb. Public Mass Transportation

i. Air Transportationii. Highways & Railroadsiii. Undergroundiv. High-Speed Systems



1. DIRECTLYc. Goods Transportation

i. Air Cargoii. Highways & Railroadsiii. Waterways

d. Mininge. Telecommunicationsf. Sanitation



1. DIRECTLYg. Energy

i. Oil & Gasii. Nuclear Poweriii. Hydropoweriv. Wind Powerv. Solar Powervi. Biomassvii. Biofuel



2. INDIRECTLYa. Logisticsb. Infrastructure Supply Chainc. Technologyd. Banking & Investment Fundse. Business Consultingf. Auditing & Accountingg. Insurance


Thank you!

MAURÍCIO JAYME E [email protected]


facts and info to investors in brazilian infrastructure

Documents

infrastructure investment

brazilian inflation

address facts info

highspeed systems facts

preceding year source

highway transportation

brazil growth

composition of gdp growth