Brazil

The net FDI position (value) for UK investment into Brazil was reported by UK ONS to be £2.8 billion at the end of 2006. (View UK FDI analysis by sector for 2006)

Key points:

• GHK regard the UK ONS data trends for Brazil as consistent, increasing steadily between 2002 and the peak in 2004 before declining to 2006.
• The significance of UK investments into the manufacturing sector is particularly high in Brazil, accounting for just over half of all UK investment in the country. The UK is one of Brazil’s largest foreign investors, and many large UK corporations have well-established operations and subsidiaries in the country.
• The proportion of UK investment excluded for reasons of confidentiality has fluctuated between 20% and 50% over the period 2002–2006. In 2006, just over one quarter of UK investment could not be allocated to individual sectors for confidentiality reasons.
• The ONS FDI data do suggest that the financial services sector in Brazil is of growing significance in terms of UK investment, accounting for 36% of the total in 2006.
• The data for 2006 and previous years suggest mining and quarrying, the manufacture of chemical, plastic and fuel products, and the food processing sectors are also significant recipients of UK investment.