Key View

• The Brazilian National Regulatory Agency continues to approve vaccine trials in the country to tackle the Covid-19 pandemic.
• Further partnerships between Brazil and international vaccine developers likely to take place in H220 due to the country’s high daily case count.
• Discordant government response continues to be detrimental to

Key View

• In this quarter, we have revised down our real growth forecast for Brazil’s construction industry in 2020 and now expect the industry will contract by 1.8% y-o-y, down from a previous forecast of growth of 1.7% y-o-y.
• From 2021, we forecast the industry will return to growth, expanding by 2.0% y-o-y in 2021 and seeing annual average

Key View

• Brazil’s healthcare systems are likely to keep struggling with the spread of the Covid-19 pandemic.
• The disjointed response by different states is preventing an effective coordinated response to the virus.
• Lack of funding for public healthcare will further exacerbate healthcare inequality in Brazil.

Brazil healthcare systems

Key View

• As we now forecast oil prices to average on USD43.2/bbl in 2020 and USD45/bbl in 2021, we highlight significant downside risks to oil investments in Brazil, which can weigh on production.
• We have revised Brazil's 2020 total fuel consumption forecast from +1.7% to +1.2% growth y-o-y on the back of the real GDP revision for 2020 from

Key View

• Brazil is pursuing liberalisation of its natural gas market with sales of assets and offering pipeline and LNG import capacity to private companies.
• A new amendment to the gas supply contract between Petrobras and YPFB signed in March 2020 marks yet another milestone in natural gas liberalisation process leading to more private

Key View

• Brazil's urban rail sector has seen recent momentum which points to a strengthening of construction activity on metro projects in the country.
• Several major metro projects are set to see a rise in construction activity over the coming quarters, including the Sao Paulo Line 6, Line 17 and Line 2 projects.
• We note the potential for

Key View

• The Brazilian new vehicle market is heading for a correction after three consecutive years of strong growth.
• Growth in private consumption will support demand for new passenger cars while improving business expenditure will ensure demand for commercial vehicles is sustained.
• We remain upbeat on the electric vehicle market in the

Key View

• Marketable natural gas production in Brazil will grow at a modest rate as we expect that more natural gas will be used for reinjection purposes to boost oil production.
• Brazil will continue to rely on LNG imports in light of potential disruptions in natural gas flows from Bolivia due to unrest.
• Further growth in LNG imports will

Key View

• New FTTx franchising model will boost Vivo's fiberisation initiative and improve market share.
• This approach could be replicated by Vivo's rivals and push fibre into rural and low-income markets, vastly improving Brazil's wireline broadband technology mix.

Brazilian wireline operator Vivo has begun working with third party