Certainly, the year 2018 can be considered as the year of the resumption of the Brazilian economy

‘Sure enough, the year 2018 may be regarded as the year of the resumption’ One of the largest investment banks in the world, Goldman Sachs sees a robust recovery of the Brazilian economy and the return of foreign investors to Brazil. For Antonio Pereira, head of Goldman Sachs Investment Banking in Brazil, 2018 will be the year of growth. In front of major deals, the bank led the equity offering of PagSeguro, which raised US $ 2.7 billion on the New York Stock Exchange, and advised the sale of Gerdau’s US assets. One of the bank’s challenges will be to find a partner for retail giant WalMart for its subsidiary in Brazil.

Mr. sees a robust resumption of the economy for this year? Certainly, the year 2018 may be regarded as the year of resumption. All macroeconomic indicators show that the economy is reacting. With the global context of much liquidity, it is a very strong and favorable combination for Brazil. So there is no doubt that the wind is blowing in favor.

Can political uncertainties affect this favorable scenario? Everyone looks closely at the political scenario for Brazil. We are living through the greatest uncertainties of recent years. But I think there is a good will in relation to Brazil. When I say goodwill, I say the market is liquid. The market does not want an elected candidate without commitment to fiscal adjustment and resumption of the economy.

Has investor appetite for Brazil returned?

He came back definitely. The level of direct investment in Brazil is very high. Liquidity, whether through private operations or through exchange operations, is very strong. We had a severe crisis in 2015 and 2016, with the flight of US and European investors.

We have demand from all sides. The return to fixed income was less interesting due to the sudden drop in interest rates. We are experiencing a migration of local and foreign investors to variable income. Does Goldman Sachs bet on Brazil? Goldman Sachs looks to the Country for what it can do to make life easier for its local and foreign customers. Brazil has been a bit out of the way in the last three years due to the worst recession in its history. This is over now.

We are talking here that it is here to chase GDP growth and the country has the most relevant GDP in Latin America. Brazil is a very relevant market there is no way you are not present in Brazil. Will the capital market this year be warmer? No doubt. The IPO is closely linked to the growth agenda. It’s an agenda that is very much alive. The market believes in a favorable political agenda and recovery of the economy.

O Estado de S.Paulo – Read more in abinee.19 / 03/2018