There Is More to Brazil Than Meets the Eye

A lot is being written about Brazil as it is currently one of the best performing economies in the world. This has made it a target for investors who may have been lured in by the fact that Brazil is due to host the next World Cup in 2014 and the Olympic Games in 2016. However there are much better reasons for investing in Brazil most of which centre around its abundant natural resources.

Brazil is fast becoming an exporter of food which includes important staples such as corn, wheat, oats and soy beans. Much of Brazil is still undeveloped meaning the potential here is enormous as it is estimated that only 20% of the land is being used. Brazil not only has abundant food and water but also energy.

It has offshore oilfields where it is estimated there are between 50 and 100 million barrels. While these oil deposits are hard to reach as they are located underneath a thick layer of salt the enormous size of the oilfields but Brazil in the top five countries of the world for oil reserves.

The potential prosperity of this country is huge, which makes it an excellent place for investors. While much of the population may currently be unable to afford to buy property or unable to gain access to financing there is little doubt this situation will not last long.

Wages in this country are expected to rise rapidly over the next few years which would of course increase demand for housing providing great rental returns and good capital growth opportunities

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