Investing in Brazil
Chi a buon albero s’appoggia, buon ombra lo ricopre. The old Italian saying (Who leans on a good tree, a good shadow covers it) could explain the reasons that have inspired Italian entrepreneurs investing in Brazil, in spite of the crisis. The release of more than 400 million euros from the Italian government this year for the country’s micro and small companies to go international will bring a legion of companies to the Brazilian market, according to the president of the Italian-Brazilian Chamber of Commerce, Industry and Agriculture (Italcam), Graziano Messana. According to his calculations, there is a potential investment of R $ 550 million in this second half and of more than R $ 8 billion in 2021, driven by companies such as TIM, Enel, Pirelli, Fiat Chrysler (FCA) and the brand Intimissimi. Currently, there are 972 Italian companies active in Brazil. “Italy is much hungrier to invest in Brazil. As the country is late in overcoming the crisis in comparison to other economies, and the exchange rate is wonderful for foreigners, assets are cheap and there are opportunities in many sectors”, says Messana. According to him, the pandemic triggered a major injection of euros by the governments and central banks in the capital of Italian companies, which now want to expand into new markets. “In addition to being capitalized and willing to expand, the Italian entrepreneur is used to crises, fluctuations and strong emotions in business. There is a lot of similarities and cultural affinity between Italy and Brazil. “
