Bom dia! My name is Richard Pearce, and I’m an entrepreneur and founding partner of Brasil Insight Capital (BIC). If you liked this post and want more like it, please subscribe below by entering your best email address. Don't worry, no spam, no non-sense, just great content occasionally delivered.
Dear Gentle Reader,
Today I wanted to focus on the first of another series that I`m calling Doing Business in Brazil 101. Hear the words banking and Brazil in the same phrase, and it`s kind of like thinking about getting a cavity filled or finger nails scraped across the chalkboard. I also recognize that chalkboards don’t exist anymore and many of you have never had that experience. But regardless, like anywhere in the world, banking in Brazil is a necessary evil.
Im not going to lie to you – banking in Brazil is about as fun as a sharp stick in the eye. But if you want to do business in Brazil, standup my friend and take it like a (wo)man! Look at it as the challenge that it is, and when the first of the many millions that will flow into your account start pouring in, enjoy a nice dinner and a glass of wine with a deep sense of satisfaction because you earned it.
Dear Gentle Reader, Well, the other shoe finally dropped last week. Moody’s was the 3rd and final rating agency to cut Brazil’s debt to junk status with a negative outlook. While not a surprise, it’s a final validation of the current fiscal imbalance and the lack of a clear, credible economic vision being put forth […]
Dear Friends, It’s fun to make sweeping predictions about the state of Brazil’s economy, especially in this market. And there are usually two camps of people making those predictions—doom and gloom analysts who cry about the sky falling and the economic samba coming to a close, and folks on the opposite end of the spectrum […]
I was reading an interesting article about “Unlocking Brazil’s Long-Term Growth Potential” in the Financialist, which is a great newsletter from Credit Suisse. It is a really succinct, intelligent article about some things that came out of the their 2016 Latin America Investment Conference in São Paulo. It got me thinking about what can be […]
Once again hope this post finds you well. I thought this time we would look at one of the most widely known and impactful events in recent times in Brazil. The amazing breadth and depth of the Petrobras scandal has startled even the most jaded of Brazilians, and has become a symbol of many of the institutional, economic and societal imbalances in Brazil today.
The speed with which this one-time superstar and market darling has fallen is as spectacular as the scope and scale of the corruption. It truly exposes a level of greed, deceit and lack of controls, and even now no one knows the full extent of the corruption.
Brazil, and when I say Brazil I mean Brazilian citizens, will be paying for this scandal for decades to come in higher energy costs and taxes that will be required to make sure the company stays solvent. Too big to fail is an understatement and with the government backing the golden shares, there is no backing out on it.
Dear Gentle Readers, Happy last week of January for you all. I hope this first month of 2016 has been wonderful. My family just came back from São Paulo and while the kids are sad it’s the end of the summer, they have been traveling for almost 2 months so good to be home! I’m […]
Well another week in paradise. Rain, rain and more rain, but that is very good given the general lack of it the last couple years. Hopefully, the reservoirs are filling up quickly so we can ensure water supply and cheaper electricity in 2016. El Nino at work. President Dilma hosted her breakfast with journalists on […]
The World Cup is so much more than soccer. For the host country, preparing for the event takes years. Roads need to be built, cell networks expanded, and stadiums remodeled. Often the countries best able to take advantage of the Cup’s economic boost are already developed—that is, they already possess the infrastructure to support the […]
Dear Gentle Readers, The Brazilian Central Bank (BCB) just came out with their December 2015 inflation report on Friday, and it got me all bothered to the point where I just had to put pen to paper. As a precursor, one of the BCB’s stated principal goals is to maintain a low and stable inflation […]
Dear Gentle Readers, Savvy businessmen have been riding the Brazilian economic wave for years now. But what about the women? Is there room for powerful business women in Brazil’s macho culture? In short, yes. Increasingly Brazilian women are joining the big boys as presidents, CEOs and entrepreneurs, and seeing great results too. Here are just […]