Key View

• Liberalisation of the downstream sector in Brazil is an upside risk to our refined fuels production forecast given that private owners are likely to pursue maintenance and expansion projects in response to the growing domestic demand for fuels.
• Sale of downstream assets to private producers will facilitate price competitiveness as it

Key View

• At Fitch Solutions, we believe Brazil's enactment of a major pension reform will provide material relief to government finances over the medium and long term.
• However, the administration will struggle to replicate its success on pension reform with the most ambitious pro-growth reforms that it has floated, such as tax reform.
• Power

Key View

• The Transfer of Rights round in Brazil constitutes an upside risk to our crude production forecast as major oil producers have expressed interest in developing the additional reserves jointly with Petrobras.
• Transfer of Rights settlement and compensation from the contracted parties will improve Petrobras's financial standing, with

Key View

• Claro and Vivo are offering connected car services, the former in partnership with General Motors.
• The two telecoms companies are well positioned to benefit from the expansion of the Brazilian Internet of Things market, supported by strong machine-to-machine connection growth and a favourable regulatory environment.
• We hold a

Key View

• Wild fires spreading across the Amazon rainforest in Brazil have recently sparked controversy over Brazilian President Jair Bolsonaro’s anti-environmental rhetoric.
• Based on his immediate reaction to the fires and recent policy proposals, the president will likely remain entrenched with his view that protecting forests impedes

Key View

• Brazil’s agricultural sector has enjoyed spectacular growth over the past few decades, and we expect the country to retain its dominant position on the global export market.
• The sector, particularly soybean, corn, cotton and livestock, will benefit from a favourable political backdrop, booming import demand, and abundant supply of

Key View

• Food spending by consumers in Brazil is dominated by four categories (meat and poultry, dairy, baked goods and bread, rice and cereals), which combined, account for approximately 80% of total household food spending.
• While diets in Brazil are still dominated by traditional foods, consumers have been diversifying, as the variety

Key View

• Given the weakening demand for light commercial vehicles in Argentina, we expect Brazil’s light commercial vehicle (LCV) producers to scale back their output in 2019.
• Although production slowdown was due to a fall in export volumes, we believe the LCV output was heading for a correction anyway following a strong LCV production growth