Medidas em estudo avançado no governo devem permitir maior internacionalização dos bancos que operam no Brasil
A nova rodada de liberalização cambial, em estudo avançado no governo, deve contemplar medidas mais ousadas, que facilitem a saída de poupança doméstica para aplicações no exterior e permitam maior internacionalização dos bancos que operam no Brasil.
As propostas que estão sob avaliação de especialistas do governo são: autorizar os bancos brasileiros a emprestar a empresas no exterior recursos captados no mercado interno; remover entraves para que os bancos no Brasil operem com derivativos no mercado internacional; ampliar ou mesmo extinguir os limites para que os fundos multimercados apliquem no mercado externo; e ampliar o teto de aplicação dos fundos de pensão, recentemente autorizados a investir até 10% do patrimônio líquido em fundos de investimentos no exterior.
Esse conjunto de medidas - que deverá ser acompanhado por uma série de revogações de circulares e resoluções do Conselho Monetário Nacional (CMN) que instituíram regras cambiais próprias de uma economia carente de moeda estrangeira - representa uma segunda etapa no processo de liberalização do mercado de câmbio no país. As primeiras medidas se destinaram, em anos recentes, a facilitar o ingresso de moeda estrangeira no Brasil. Agora, as ações do governo estão dirigidas para a simplificação da saída de recursos.
Para que os bancos que operam no país possam emprestar a empresas no exterior, sejam as nacionais que se internacionalizam ou as estrangeiras, será preciso extinguir os mandamentos da circular nº 24, do Banco Central, que desde fevereiro de 1966 impõe, num só artigo, a proibição para que essas instituições emprestem poupança doméstica fora do país. O artigo diz: ' Comunicamos que é expressamente vedado às instituições financeiras, por qualquer forma, aplicar ou promover a colocação no exterior de recursos coletados no país'.
A circular nº 24 é parte da própria história do Banco Central, criado pela lei nº 4.595, em 1964. Na avaliação de fontes do governo, essa regra não condiz com a necessidade de o sistema financeiro doméstico acompanhar a internacionalização das empresas brasileiras.
Valor Econômico > Impresso > Caderno A
Claudia Safatle, de Brasília
26/11/2009
Governo pretende ousar na liberalização cambial
Nov. 26 (Bloomberg) -- The Brazilian government is planning measures to facilitate private investments abroad and to give local banks more freedom to make international transactions, Valor Economico reported, without saying where it got the information.
Authorities are evaluating proposals such as allowing local banks to lend abroad and to operate derivatives in the international markets, the Sao Paulo-based newspaper said. Other rules under consideration are ending limits for hedge funds to invest abroad and raising the limit for pension funds to buy foreign assets.
The proposals are part of a broader government effort to liberalize foreign-exchange transactions, Valor reported.
Calls by Bloomberg News to the Finance Ministry and the central bank weren’t immediately returned.
To contact the reporter responsible for this story: Camila Fontana in Sao Paulo at cfontana@bloomberg.net
Last Updated: November 26, 2009 05:17 EST
Thursday, November 26, 2009
Wednesday, November 25, 2009
UPDATE: Brazil Boosts Support For IMF Facility To $14 Billion
BRASILIA (Dow Jones)--Brazil will make available a total of $14 billion to the International Monetary Fund's NAB fund, up from the $10 billion originally planned, Finance Minister Guido Mantega said Wednesday.
NAB stands for the IMF's New Arrangements to Borrow and will contain total funding of some $600 billion. The NAB facility is meant to boost the IMF's lending resources during times of global financial stress.
'This money will be available to the IMF and it will be doled out as needed, rather than all at once,' Mantega said at a news conference. 'It's like an expense account.'
The NAB facility was originally planned to hold $500 billion, mainly from industrialized countries. But Brazil, along with a number of other emerging countries, has agreed to participate.
Mantega said, 'Brazil, Russia, China and India, the BRIC countries, will control 15% of the NAB fund. That equals virtually a veto power because decisions on how to use the fund need to be approved by holders of at least 85% of the stakes.'
-By Tom Murphy, Dow Jones Newswires; 55-11-2847-4519; brazil@dowjones.com"
NAB stands for the IMF's New Arrangements to Borrow and will contain total funding of some $600 billion. The NAB facility is meant to boost the IMF's lending resources during times of global financial stress.
'This money will be available to the IMF and it will be doled out as needed, rather than all at once,' Mantega said at a news conference. 'It's like an expense account.'
The NAB facility was originally planned to hold $500 billion, mainly from industrialized countries. But Brazil, along with a number of other emerging countries, has agreed to participate.
Mantega said, 'Brazil, Russia, China and India, the BRIC countries, will control 15% of the NAB fund. That equals virtually a veto power because decisions on how to use the fund need to be approved by holders of at least 85% of the stakes.'
-By Tom Murphy, Dow Jones Newswires; 55-11-2847-4519; brazil@dowjones.com"
Brazil Boosts Support For IMF Facility To $14 Billion
Friday, November 20, 2009
Brazil May Allow Some Funds to Invest 100% Overseas, Folha Says - Bloomberg.com
Brazil May Allow Some Funds to Invest 100% Overseas, Folha Says
Nov. 20 (Bloomberg) -- Brazil’s government may allow so- called multimarket funds to invest entirely in overseas assets, eliminating a 20 percent limit on foreign holdings to help curb the appreciation of the real, Folha de S. Paulo reported, without saying where it got the information.
Multimarket funds are for high-risk investors and can hold fixed-income assets, currency, gold, shares, options and other financial instruments, Folha said.
Finance Ministry spokeswoman Patricia Mesquita declined to comment when contacted by Bloomberg News today.
To contact the reporter on this story: Laura Price in London at lprice3@bloomberg.net
Last Updated: November 20, 2009 05:54 EST"
Nov. 20 (Bloomberg) -- Brazil’s government may allow so- called multimarket funds to invest entirely in overseas assets, eliminating a 20 percent limit on foreign holdings to help curb the appreciation of the real, Folha de S. Paulo reported, without saying where it got the information.
Multimarket funds are for high-risk investors and can hold fixed-income assets, currency, gold, shares, options and other financial instruments, Folha said.
Finance Ministry spokeswoman Patricia Mesquita declined to comment when contacted by Bloomberg News today.
To contact the reporter on this story: Laura Price in London at lprice3@bloomberg.net
Last Updated: November 20, 2009 05:54 EST"
Thursday, November 19, 2009
Brazil Increase of IOF ‘Should Not Be Ruled Out,’ JPMorgan Says - Bloomberg.com
Brazil Increase of IOF ‘Should Not Be Ruled Out,’ JPMorgan Says
Nov. 19 (Bloomberg) -- Brazil’s so-called IOF tax on the purchase of equity and fixed-income assets by foreigners may be expanded further to fight an appreciation in the currency, JPMorgan Chase & Co. said.
The extension of the tax to the creation of new depositary receipts, announced yesterday, shows that the IOF remains the key instrument to fight the real’s appreciation, and therefore IOF brackets that are higher or broader in scope should not be ruled out, wrote Sao Paulo-based Julio C. Callegari in a note.
To contact the reporter on this story: Paulo Winterstein in Sao Paulo at pwinterstein@bloomberg.net.
Last Updated: November 19, 2009 07:31 EST"
Nov. 19 (Bloomberg) -- Brazil’s so-called IOF tax on the purchase of equity and fixed-income assets by foreigners may be expanded further to fight an appreciation in the currency, JPMorgan Chase & Co. said.
The extension of the tax to the creation of new depositary receipts, announced yesterday, shows that the IOF remains the key instrument to fight the real’s appreciation, and therefore IOF brackets that are higher or broader in scope should not be ruled out, wrote Sao Paulo-based Julio C. Callegari in a note.
To contact the reporter on this story: Paulo Winterstein in Sao Paulo at pwinterstein@bloomberg.net.
Last Updated: November 19, 2009 07:31 EST"
Monday, November 16, 2009
JPMorgan Chase Names Berquo to Run Bank’s Businesses in Brazil - Business Exchange
JPMorgan Chase Names Berquo to Run Bank’s Businesses in Brazil
Nov. 16 (Bloomberg) -- JPMorgan Chase & Co., the second- largest U.S. bank, named Claudio Berquo to run the firm’s investment bank, asset management and treasury and securities services businesses in Brazil.
Berquo, 48, will continue as head of the private bank in Brazil, Latin America’s largest economy, and report to Eduardo Cepeda in that role, according to an internal memo from Mary Erdoes, chief executive officer of the asset management unit, and Nicolas Aguzin, head of Latin America. Tasha Pelio, a spokeswoman for the New York-based bank, confirmed the memo’s contents.
JPMorgan is extending its reach internationally as rivals struggle to return to profitability. The bank is in talks to buy the half of U.K. brokerage Cazenove Group that it doesn’t already own, according to a person familiar with the matter.
“As strong as our business is in Latin America, there is still tremendous opportunity for growth, particularly in Brazil,” Erdoes and Aguzin said in the memo.
Berquo, who has been at JPMorgan for 15 years, was previously responsible for JPMorgan’s wealth management business in Brazil. Prior to that he was a senior executive in the investment bank, the memo said.
JPMorgan ranks fifth in Latin American equity sales this year, according to Bloomberg data. Brazilian economists raised their gross domestic product growth forecast to 5 percent in 2010, from 4.83 percent last week, according to a central bank survey of about 100 professionals.
To contact the reporter on this story: Elizabeth Hester in New York at ehester@bloomberg.net.
Last Updated: November 16, 2009 15:57 EST"
Nov. 16 (Bloomberg) -- JPMorgan Chase & Co., the second- largest U.S. bank, named Claudio Berquo to run the firm’s investment bank, asset management and treasury and securities services businesses in Brazil.
Berquo, 48, will continue as head of the private bank in Brazil, Latin America’s largest economy, and report to Eduardo Cepeda in that role, according to an internal memo from Mary Erdoes, chief executive officer of the asset management unit, and Nicolas Aguzin, head of Latin America. Tasha Pelio, a spokeswoman for the New York-based bank, confirmed the memo’s contents.
JPMorgan is extending its reach internationally as rivals struggle to return to profitability. The bank is in talks to buy the half of U.K. brokerage Cazenove Group that it doesn’t already own, according to a person familiar with the matter.
“As strong as our business is in Latin America, there is still tremendous opportunity for growth, particularly in Brazil,” Erdoes and Aguzin said in the memo.
Berquo, who has been at JPMorgan for 15 years, was previously responsible for JPMorgan’s wealth management business in Brazil. Prior to that he was a senior executive in the investment bank, the memo said.
JPMorgan ranks fifth in Latin American equity sales this year, according to Bloomberg data. Brazilian economists raised their gross domestic product growth forecast to 5 percent in 2010, from 4.83 percent last week, according to a central bank survey of about 100 professionals.
To contact the reporter on this story: Elizabeth Hester in New York at ehester@bloomberg.net.
Last Updated: November 16, 2009 15:57 EST"
Brazil Real 7.2% Undervalued Even After Rally, BofA Says
Nov. 16 (Bloomberg) -- Brazil’s real, the best- performing major currency this year, is undervalued by 7.2 percent against the dollar based on the nation’s rising exports and higher savings, Bank of America Corp. said.
Emerging-market currencies are “broadly undervalued” against the dollar, with Latin America the most undervalued region in the world, Bank of America strategists wrote in a note to clients.
The Brazilian currency, which has gained 35 percent this year, rose 0.6 percent to 1.7126 against the dollar at 11:22 a.m. New York time. The real should appreciate to 1.60 per dollar in two to three years, Benoit Anne, the London-based head of emerging market foreign-currency and debt strategy at Bank of America, said by phone today.
“In nominal terms, the real is still undervalued,” Anne said, citing an improving current account and excess savings. “We think the real should strengthen over the long term based on our model.”
... more: Brazil Real 7.2% Undervalued Even After Rally, BofA Says
Emerging-market currencies are “broadly undervalued” against the dollar, with Latin America the most undervalued region in the world, Bank of America strategists wrote in a note to clients.
The Brazilian currency, which has gained 35 percent this year, rose 0.6 percent to 1.7126 against the dollar at 11:22 a.m. New York time. The real should appreciate to 1.60 per dollar in two to three years, Benoit Anne, the London-based head of emerging market foreign-currency and debt strategy at Bank of America, said by phone today.
“In nominal terms, the real is still undervalued,” Anne said, citing an improving current account and excess savings. “We think the real should strengthen over the long term based on our model.”
... more: Brazil Real 7.2% Undervalued Even After Rally, BofA Says
Friday, November 13, 2009
Dollar Overwhelms Central Banks From Brazil to Korea (Update1) - Bloomberg.com
By Oliver Biggadike and Matthew Brown
Nov. 13 (Bloomberg) -- Brazil, South Korea and Russia are losing the battle among developing nations to reduce gains in their currencies and keep exports competitive as the demand for their financial assets, driven by the slumping dollar, is proving more than central banks can handle."...
‘Suffered Tremendously’
Brazil’s real is up 1.6 percent this month, even after imposing a tax in October on foreign stock and bond investments and increasing foreign reserves by $9.5 billion in October in an effort to curb the currency’s appreciation. The real has risen 33 percent this year.
“We have to be careful that our exchange rate doesn’t appreciate too much as to deindustrialize the country,” Marcos Verissimo, chief of staff at Brazil’s state development bank known as BNDES, said yesterday at a conference in Sao Paulo. “The capital goods industry has suffered tremendously.”....
“The dollar is weakening because the U.S. has the lowest short-term interest rates in the world will be the sell side of the carry trade as long as that remains true,” Chris Low, chief economist at FTN Financial in New York, wrote in a note to clients yesterday.....
‘Hard to Fight’
Brazil’s economy emerged from a recession in the second quarter, swinging to a 1.9 percent expansion after six months of contraction, a Sept. 11 report from the statistics agency showed. Six straight months of job growth, coupled with tax breaks and record low borrowing costs, pushed up consumer spending and helped Latin America’s largest economy rebound from the global financial crisis.
“I hear a lot of noise reflecting the government’s discomfort with the exchange rate, but it is hard to fight this,” said Rodrigo Azevedo, the monetary policy director of Brazil’s central bank from 2004 to 2007. “There is very little Brazil can do,” said Azevedo, who runs $1.8 billion at JGP SA in Rio de Janeiro, in an Oct. 16 interview.
To contact the reporter on this story:
Oliver Biggadike in New York at obiggadike@bloomberg.net
Matthew Brown in London at brown42@bloomberg.net
Last Updated: November 13, 2009 01:34 EST
Dollar Overwhelms Central Banks From Brazil to Korea
Nov. 13 (Bloomberg) -- Brazil, South Korea and Russia are losing the battle among developing nations to reduce gains in their currencies and keep exports competitive as the demand for their financial assets, driven by the slumping dollar, is proving more than central banks can handle."...
‘Suffered Tremendously’
Brazil’s real is up 1.6 percent this month, even after imposing a tax in October on foreign stock and bond investments and increasing foreign reserves by $9.5 billion in October in an effort to curb the currency’s appreciation. The real has risen 33 percent this year.
“We have to be careful that our exchange rate doesn’t appreciate too much as to deindustrialize the country,” Marcos Verissimo, chief of staff at Brazil’s state development bank known as BNDES, said yesterday at a conference in Sao Paulo. “The capital goods industry has suffered tremendously.”....
“The dollar is weakening because the U.S. has the lowest short-term interest rates in the world will be the sell side of the carry trade as long as that remains true,” Chris Low, chief economist at FTN Financial in New York, wrote in a note to clients yesterday.....
‘Hard to Fight’
Brazil’s economy emerged from a recession in the second quarter, swinging to a 1.9 percent expansion after six months of contraction, a Sept. 11 report from the statistics agency showed. Six straight months of job growth, coupled with tax breaks and record low borrowing costs, pushed up consumer spending and helped Latin America’s largest economy rebound from the global financial crisis.
“I hear a lot of noise reflecting the government’s discomfort with the exchange rate, but it is hard to fight this,” said Rodrigo Azevedo, the monetary policy director of Brazil’s central bank from 2004 to 2007. “There is very little Brazil can do,” said Azevedo, who runs $1.8 billion at JGP SA in Rio de Janeiro, in an Oct. 16 interview.
To contact the reporter on this story:
Oliver Biggadike in New York at obiggadike@bloomberg.net
Matthew Brown in London at brown42@bloomberg.net
Last Updated: November 13, 2009 01:34 EST
Dollar Overwhelms Central Banks From Brazil to Korea
View Waldemar Jezler's profile
Thursday, November 12, 2009
Brazil Currency Specialist to Join Finance Ministry, Valor Says
Nov. 12 (Bloomberg) -- Economist Emilio Garofalo Filho left the Brazilian central bank to work at the Finance Ministry, Valor Economico reported, without saying where it got the information.
Finance Minister Guido Mantega invited Garofalo, 56, to help design policies to contain the local currency’s appreciation against the dollar, according to the newspaper.
Calls by Bloomberg News to the Finance Ministry and the central bank weren’t answered before regular business hours.
To contact the reporter responsible for this story:
Camila Fontana in Sao Paulo at cfontana@bloomberg.net
Last Updated: November 12, 2009 04:51 EST
Brazil Currency Specialist to Join Finance Ministry, Valor Says
Finance Minister Guido Mantega invited Garofalo, 56, to help design policies to contain the local currency’s appreciation against the dollar, according to the newspaper.
Calls by Bloomberg News to the Finance Ministry and the central bank weren’t answered before regular business hours.
To contact the reporter responsible for this story:
Camila Fontana in Sao Paulo at cfontana@bloomberg.net
Last Updated: November 12, 2009 04:51 EST
Brazil Currency Specialist to Join Finance Ministry, Valor Says
Wednesday, November 11, 2009
Brazil Real May Rally 10% to 10-Year High: Technical Analysis
Nov. 11 (Bloomberg) -- Brazil’s real, the best-performing major currency in the world this year, may rally 10 percent to a 10-year high because government measures aren’t enough to stem gains, said Phil Roberts, a technical analyst at Barclays Plc.
The real will take out a decade high of 1.5545 per dollar reached in August 2008, a month before global credit markets seized up, Roberts said. He said that should the real begin to falter and decline to 1.7810 per dollar, it would signal that the rally that began in March would be ending.
The real has climbed 35 percent this year, more than all currencies Bloomberg tracks against the dollar after the Seychelles rupee. The real weakened 0.3 percent today to 1.7175 per dollar at 11:16 a.m. in New York.
This rally is “not over,” Roberts said in an interview from London. “Attempts to stop the appreciation of the real will have to be stronger.” ....
more: Brazil Real May Rally 10% to 10-Year High: Technical Analysis
To contact the reporter on this story: Tal Barak Harif in New York at tbarak@bloomberg.net
Last Updated: November 11, 2009 11:32 EST
The real will take out a decade high of 1.5545 per dollar reached in August 2008, a month before global credit markets seized up, Roberts said. He said that should the real begin to falter and decline to 1.7810 per dollar, it would signal that the rally that began in March would be ending.
The real has climbed 35 percent this year, more than all currencies Bloomberg tracks against the dollar after the Seychelles rupee. The real weakened 0.3 percent today to 1.7175 per dollar at 11:16 a.m. in New York.
This rally is “not over,” Roberts said in an interview from London. “Attempts to stop the appreciation of the real will have to be stronger.” ....
more: Brazil Real May Rally 10% to 10-Year High: Technical Analysis
To contact the reporter on this story: Tal Barak Harif in New York at tbarak@bloomberg.net
Last Updated: November 11, 2009 11:32 EST
Tuesday, November 10, 2009
Brazil, Mexico Debt May Be Rated Same by 2010 (Update2) - Bloomberg.com
Nov. 10 (Bloomberg) -- Brazil’s credit rating probably will be raised next year while Mexico’s will be cut, giving Latin America’s two biggest economies the same risk level for the first time, said Doug Smith, chief economist for the Americas at Standard Chartered Plc.
Smith said he expects ratings companies to lift Brazilian debt one grade as its diversified trade helps pull the economy out of recession faster than most developing countries. Mexico’s rating likely will be lowered one level as a reliance on U.S. export demand and oil sales slows its recovery, he said.
“It is about who is moving in the right direction and who is maybe not moving in the right direction,” Smith said at an event in New York. The two countries sharing the same rating “is something people wouldn’t think was particularly likely five years ago, but I think this is something we should expect in the middle of next year,” he said.
Brazil won an investment-grade rating of Baa3 from Moody’s Investors Service in September, putting it one level above high- yield or junk at all three major ratings companies. Standard & Poor’s and Fitch Ratings have a negative outlook on Mexico’s BBB+ rating, the third-lowest investment-grade, amid concern declining oil production will swell the country’s budget gap.
Brazil is also benefiting from prospects investment will increase ahead of the 2014 World Cup and the 2016 Olympics in the country, as well as the oil discoveries in its offshore fields. Brazil’s pre-salt finds, which lie beneath a layer of salt under the sea bed, include the biggest oilfield discovery in the Americas since 1976. The deposits may more than double Brazil’s proven reserves in three years."
more: Brazil, Mexico Debt May Be Rated Same by 2010
Smith said he expects ratings companies to lift Brazilian debt one grade as its diversified trade helps pull the economy out of recession faster than most developing countries. Mexico’s rating likely will be lowered one level as a reliance on U.S. export demand and oil sales slows its recovery, he said.
“It is about who is moving in the right direction and who is maybe not moving in the right direction,” Smith said at an event in New York. The two countries sharing the same rating “is something people wouldn’t think was particularly likely five years ago, but I think this is something we should expect in the middle of next year,” he said.
Brazil won an investment-grade rating of Baa3 from Moody’s Investors Service in September, putting it one level above high- yield or junk at all three major ratings companies. Standard & Poor’s and Fitch Ratings have a negative outlook on Mexico’s BBB+ rating, the third-lowest investment-grade, amid concern declining oil production will swell the country’s budget gap.
Brazil is also benefiting from prospects investment will increase ahead of the 2014 World Cup and the 2016 Olympics in the country, as well as the oil discoveries in its offshore fields. Brazil’s pre-salt finds, which lie beneath a layer of salt under the sea bed, include the biggest oilfield discovery in the Americas since 1976. The deposits may more than double Brazil’s proven reserves in three years."
more: Brazil, Mexico Debt May Be Rated Same by 2010
Rates Widen As Brazil Sells BRL833.7 Mln NTN-Bs At 6.16%-6.75% - WSJ.com
Rates Widen As Brazil Sells BRL833.7 Mln NTN-Bs At 6.16%-6.75%
BRASILIA (Dow Jones)--Brazil's federal treasury sold 833.7 million Brazilian reals ($487.83 million) worth of face-value NTN-B inflation-linked bonds of BRL1 billion on auction Tuesday at a slightly wider range of interest rates than seen at recent auctions.
The government sold bonds with six maturities ranging from November 2011, to May 2045 at average interest rates ranging from 6.16% to 6.75%. Those compared with rates of 6.24% to 6.67% at an auction of similar maturities held Oct. 20.
NTN-B bonds pay a rate equal to Brazil's official IPCA inflation rate plus an interest rate established at the auction.
Traders said the wider range of yields seen Tuesday reflected modest inflation and interest rate expectations seen over recent days.
Brazil's 12-month official IPCA index decelerated to 4.14% in mid-October from 4.34% through the end of September, while the country's reference Selic interest rate stood at 8.75% annually.
According to a weekly central bank market survey released Monday, IPCA inflation is seen ending 2010 at 4.46%, while the reference Selic rate is seen rising to 10.5% annually.
Brazil has set an annual inflation target through 2011 at 4.5%.
-By Gerald Jeffris, Dow Jones Newswires; (5561) 3335-0832; gerald.jeffris@dowjones.com"
BRASILIA (Dow Jones)--Brazil's federal treasury sold 833.7 million Brazilian reals ($487.83 million) worth of face-value NTN-B inflation-linked bonds of BRL1 billion on auction Tuesday at a slightly wider range of interest rates than seen at recent auctions.
The government sold bonds with six maturities ranging from November 2011, to May 2045 at average interest rates ranging from 6.16% to 6.75%. Those compared with rates of 6.24% to 6.67% at an auction of similar maturities held Oct. 20.
NTN-B bonds pay a rate equal to Brazil's official IPCA inflation rate plus an interest rate established at the auction.
Traders said the wider range of yields seen Tuesday reflected modest inflation and interest rate expectations seen over recent days.
Brazil's 12-month official IPCA index decelerated to 4.14% in mid-October from 4.34% through the end of September, while the country's reference Selic interest rate stood at 8.75% annually.
According to a weekly central bank market survey released Monday, IPCA inflation is seen ending 2010 at 4.46%, while the reference Selic rate is seen rising to 10.5% annually.
Brazil has set an annual inflation target through 2011 at 4.5%.
-By Gerald Jeffris, Dow Jones Newswires; (5561) 3335-0832; gerald.jeffris@dowjones.com"
Brazil Investigating Investment Tax Loopholes, Estado Reports
Nov. 10 (Bloomberg) -- Brazil’s Finance Ministry is investigating possible loopholes used by investors to avoid paying a new tax on foreign purchases of stocks and bonds, O Estado de Sao Paulo reported, citing an interview with a government official who declined to be identified.
The Finance Ministry is inclined to raise the tax rate from 2 percent and at the same time to eliminate the tax on purchases of stocks in initial public offerings, the person told Estado.
The Finance Ministry press office didn’t immediately return calls by Bloomberg News seeking comment.
To contact the reporter responsible for this story: Camila Fontana at cfontana@bloomberg.net
Last Updated: November 10, 2009 05:02 EST
Brazil Investigating Investment Tax Loopholes, Estado Reports - Bloomberg.com
The Finance Ministry is inclined to raise the tax rate from 2 percent and at the same time to eliminate the tax on purchases of stocks in initial public offerings, the person told Estado.
The Finance Ministry press office didn’t immediately return calls by Bloomberg News seeking comment.
To contact the reporter responsible for this story: Camila Fontana at cfontana@bloomberg.net
Last Updated: November 10, 2009 05:02 EST
Brazil Investigating Investment Tax Loopholes, Estado Reports - Bloomberg.com
Friday, November 6, 2009
Darling Seeks G-20 Plan to Deal With Asset Bubbles (Update2) - Bloomberg.com
Nov. 6 (Bloomberg) -- U.K. Chancellor of the Exchequer Alistair Darling said the Group of 20 nations should develop a way to tackle asset-price bubbles as the world’s leading economies recover.
“We have got to make sure we don’t get ourselves into a situation where some pressure starts to rise and then it becomes bigger and bigger and when the whole thing comes to an end it has catastrophic consequences,” Darling said in an interview with Bloomberg Television.
The comments help shape the agenda for a meeting of G-20 finance ministers hosted by Darling today in St. Andrews, Scotland. They echo calls from the International Monetary Fund and Nouriel Roubini, the New York University professor who predicted the crisis that began in 2007.
.... ‘Bubble-Building’
“We also have this concern,” Russian Finance Minister Alexei Kudrin said in an interview in London yesterday. “We need to be very careful with this huge amount of injected liquidity.”
Henrique Meirelles, the Brazilian central bank governor, told reporters on Nov. 3 in Oxford, England, that “there’s a need for international cooperation in preventing imbalances and bubble-building and some of that demands international regulation, symmetry of regulation among several countries.”
more: Darling Seeks G-20 Plan to Deal With Asset Bubbles (Update2) - Bloomberg.com
“We have got to make sure we don’t get ourselves into a situation where some pressure starts to rise and then it becomes bigger and bigger and when the whole thing comes to an end it has catastrophic consequences,” Darling said in an interview with Bloomberg Television.
The comments help shape the agenda for a meeting of G-20 finance ministers hosted by Darling today in St. Andrews, Scotland. They echo calls from the International Monetary Fund and Nouriel Roubini, the New York University professor who predicted the crisis that began in 2007.
.... ‘Bubble-Building’
“We also have this concern,” Russian Finance Minister Alexei Kudrin said in an interview in London yesterday. “We need to be very careful with this huge amount of injected liquidity.”
Henrique Meirelles, the Brazilian central bank governor, told reporters on Nov. 3 in Oxford, England, that “there’s a need for international cooperation in preventing imbalances and bubble-building and some of that demands international regulation, symmetry of regulation among several countries.”
more: Darling Seeks G-20 Plan to Deal With Asset Bubbles (Update2) - Bloomberg.com
Brazil May Exempt IPOs From Foreign Inflow Tax, Estado Reports
Nov. 6 (Bloomberg) -- Brazil’s Finance Minister Guido Mantega may exempt initial public offerings from a new 2 percent tax on foreign inflows while increasing the levy on other transactions, Estado reported, without saying how it got the information.
An increase in the inflow tax may be applied to other kinds of transactions in a bid to stem the real’s rally against the dollar, the Sao Paulo-based newspaper reported.
The Finance Ministry didn’t immediately return calls by Bloomberg News seeking comment.
To contact the reporter on this story: Francisco Marcelino in Sao Paulo at mdeoliveira@bloomberg.net
Last Updated: November 6, 2009 07:14 EST
Brazil May Exempt IPOs From Foreign Inflow Tax, Estado Reports - Bloomberg.com
An increase in the inflow tax may be applied to other kinds of transactions in a bid to stem the real’s rally against the dollar, the Sao Paulo-based newspaper reported.
The Finance Ministry didn’t immediately return calls by Bloomberg News seeking comment.
To contact the reporter on this story: Francisco Marcelino in Sao Paulo at mdeoliveira@bloomberg.net
Last Updated: November 6, 2009 07:14 EST
Brazil May Exempt IPOs From Foreign Inflow Tax, Estado Reports - Bloomberg.com
Brazil Government To Inject BRL100 Billion In BNDES -Report - WSJ.com
SAO PAULO (Dow Jones)--The Brazilian government will inject another 100 billion Brazilian reals ($58 billion) into the state-controlled Brazilian Development Bank, or BNDES, Brazilian President Luiz Inacio Lula da Silva said in a exclusive interview published Friday by local newspaper Valor Economico.
The capital injection will be used by the BNDES to increase its lending to domestic companies, especialy for long-term investments projects.
Earlier this year, the government injected BRL100 billion into the BNDES for short- and long-term lending to companies.
-By Rogerio Jelmayer,
NOVEMBER 6, 2009, 6:10 A.M. ET
Brazil Government To Inject BRL100 Billion In BNDES -Report - WSJ.com
The capital injection will be used by the BNDES to increase its lending to domestic companies, especialy for long-term investments projects.
Earlier this year, the government injected BRL100 billion into the BNDES for short- and long-term lending to companies.
-By Rogerio Jelmayer,
NOVEMBER 6, 2009, 6:10 A.M. ET
Brazil Government To Inject BRL100 Billion In BNDES -Report - WSJ.com
Thursday, November 5, 2009
Mantega Says Brazil Inflow Tax to Help Avoid ‘Bubble’
By Laura Price and Juan Pablo Spinetto
Nov. 5 (Bloomberg) -- Brazilian Finance Minister Guido Mantega said the country’s 2 percent tax on some capital inflows will help prevent the formation of an asset “bubble.” [more: Mantega Says Brazil Inflow Tax to Help Avoid ‘Bubble’]
Nov. 5 (Bloomberg) -- Brazilian Finance Minister Guido Mantega said the country’s 2 percent tax on some capital inflows will help prevent the formation of an asset “bubble.” [more: Mantega Says Brazil Inflow Tax to Help Avoid ‘Bubble’]
Brazil to Propose Measures on Exchange Rates at G20, Folha Says
By Andre Soliani
Nov. 5 (Bloomberg) -- Brazil will propose to the Group of 20 countries measures to avoid overvaluation of the Brazilian, Australian, New Zealander and South African currencies against the U.S. dollar and the Chinese yuan, Folha de Sao Paulo reported, citing Finance Minister Guido Mantega. Mantega told the Sao Paulo-based newspaper that investors are shifting money to commodity exporting economies because rich nations are paying low interest rates.
The government’s 2 percent tax on foreign purchases of fixed income securities and equities is helping contain stock and currency gains, Folha reported Mantega as saying.
To contact the reporter on this story: Andre Soliani in Brasilia at asoliani@bloomberg.net
Last Updated: November 5, 2009 07:08 EST
Brazil to Propose Measures on Exchange Rates at G20, Folha Says - Bloomberg.com
Wednesday, November 4, 2009
Brazil Real Needs to Drop 19% for Sustained Growth, Barbosa Says
By Fabiola Moura
Nov. 4 (Bloomberg) -- Brazil’s currency needs to weaken as much as 19 percent for sustainable economic growth, said Nelson Barbosa, the Brazilian Finance Ministry’s top policy adviser.
The real needs to be at 2.1 to 2.12 per U.S. dollar for growth, Barbosa told reporters at an event in New York. The currency traded at 1.7237 per dollar at 11:10 a.m. New York time.
To contact the reporter on this story: Fabiola Moura in New York at fdemoura@bloomberg.net
Last Updated: November 4, 2009 11:16 EST
Brazil Real Needs to Drop 19% for Sustained Growth, Barbosa Says
Nov. 4 (Bloomberg) -- Brazil’s currency needs to weaken as much as 19 percent for sustainable economic growth, said Nelson Barbosa, the Brazilian Finance Ministry’s top policy adviser.
The real needs to be at 2.1 to 2.12 per U.S. dollar for growth, Barbosa told reporters at an event in New York. The currency traded at 1.7237 per dollar at 11:10 a.m. New York time.
To contact the reporter on this story: Fabiola Moura in New York at fdemoura@bloomberg.net
Last Updated: November 4, 2009 11:16 EST
Brazil Real Needs to Drop 19% for Sustained Growth, Barbosa Says
Brazil Banco Fibra Raises $110M From Bonds Issue - WSJ.com
Brazil Banco Fibra Raises $110M From Bonds Issue
SAO PAULO (Dow Jones)--Small Brazil bank Banco Fibra raised $110 million from the issue of bonds overseas, a person involved in the operation told Dow Jones Newswires on Wednesday.
The bonds will carry a seven-year maturity and will pay an annual yield of 8.5%. Goldman Sachs coordinated the operation.
Fibra was founded in 1988 and is controlled by the Steinbruch family, which has interests in the textile, steel and real estate sectors.
-By Rogerio Jelmayer, Dow Jones Newswires; 5511-2847-4521; rogerio.jelmayer@dowjones.com"
SAO PAULO (Dow Jones)--Small Brazil bank Banco Fibra raised $110 million from the issue of bonds overseas, a person involved in the operation told Dow Jones Newswires on Wednesday.
The bonds will carry a seven-year maturity and will pay an annual yield of 8.5%. Goldman Sachs coordinated the operation.
Fibra was founded in 1988 and is controlled by the Steinbruch family, which has interests in the textile, steel and real estate sectors.
-By Rogerio Jelmayer, Dow Jones Newswires; 5511-2847-4521; rogerio.jelmayer@dowjones.com"
Brazil Removal of Outflow Barriers Is ‘Inevitable,’ WestLB Says - Bloomberg.com
Brazil Removal of Outflow Barriers Is ‘Inevitable,’ WestLB Says
By Camila Fontana
Nov. 4 (Bloomberg) -- The removal of barriers to the outflow of dollars from Brazil is inevitable, said Ures Folchini, executive vice-president of local markets at Banco WestLB do Brasil.
Central bank President Henrique Meirelles said late yesterday that Brazil is conducting studies to remove “artificial impediments” to outflows of foreign currencies.
Meirelles, speaking at an event in Oxford, U.K., said the country needs to “modernize” its exchange rate system.
The Brazilian real is the best performer against the dollar this year among 26 emerging-market currencies tracked by Bloomberg, with a 34 percent gain.
The real rose 0.7 percent to 1.7330 per U.S. dollar at 7:57 a.m. New York time, from 1.7446 yesterday.
WestLB predicts the real will finish the year at 1.65 per dollar. Folchini spoke in a phone interview from Sao Paulo.
On the proposal by the central bank:
“This is an inevitable step that is seen as an advancement by the market. Our economy is becoming increasingly important.
“You know you can get out if you need to. You get more comfortable to invest, that helps the real to go up.”
On the real’s direction:
“The real is following the trend of other currencies against the dollar, with smaller or greater intensity. Even the measures that were taken by the government to curb gains won’t interrupt this trend.”
On capital flows into Brazilian securities:
“The window for companies to issue bonds is very large.”
To contact the reporter on this story: Camila Fontana Correa in Sao Paulo at cfontana@bloomberg.net
Last Updated: November 4, 2009 08:04 EST"
By Camila Fontana
Nov. 4 (Bloomberg) -- The removal of barriers to the outflow of dollars from Brazil is inevitable, said Ures Folchini, executive vice-president of local markets at Banco WestLB do Brasil.
Central bank President Henrique Meirelles said late yesterday that Brazil is conducting studies to remove “artificial impediments” to outflows of foreign currencies.
Meirelles, speaking at an event in Oxford, U.K., said the country needs to “modernize” its exchange rate system.
The Brazilian real is the best performer against the dollar this year among 26 emerging-market currencies tracked by Bloomberg, with a 34 percent gain.
The real rose 0.7 percent to 1.7330 per U.S. dollar at 7:57 a.m. New York time, from 1.7446 yesterday.
WestLB predicts the real will finish the year at 1.65 per dollar. Folchini spoke in a phone interview from Sao Paulo.
On the proposal by the central bank:
“This is an inevitable step that is seen as an advancement by the market. Our economy is becoming increasingly important.
“You know you can get out if you need to. You get more comfortable to invest, that helps the real to go up.”
On the real’s direction:
“The real is following the trend of other currencies against the dollar, with smaller or greater intensity. Even the measures that were taken by the government to curb gains won’t interrupt this trend.”
On capital flows into Brazilian securities:
“The window for companies to issue bonds is very large.”
To contact the reporter on this story: Camila Fontana Correa in Sao Paulo at cfontana@bloomberg.net
Last Updated: November 4, 2009 08:04 EST"
Tuesday, November 3, 2009
Vale Sells $1 Billion of 30-Year Bonds in Overseas Markets
By Veronica Navarro Espinosa
Nov. 3 (Bloomberg) -- Vale SA, the Rio de Janeiro-based company that is the world’s largest iron-ore producer, sold $1 billion of 30-year bonds in its second overseas dollar note offering this year.
Vale sold the bonds to yield 2.65 percentage points above similar-maturity U.S. Treasuries, according to Bloomberg data. Deutsche Bank AG, HSBC Holdings Plc and JPMorgan Chase & Co. arranged the offering, Vale said in a filing to Brazil’s securities regulator."
more: Vale Sells $1 Billion of 30-Year Bonds in Overseas Markets
Nov. 3 (Bloomberg) -- Vale SA, the Rio de Janeiro-based company that is the world’s largest iron-ore producer, sold $1 billion of 30-year bonds in its second overseas dollar note offering this year.
Vale sold the bonds to yield 2.65 percentage points above similar-maturity U.S. Treasuries, according to Bloomberg data. Deutsche Bank AG, HSBC Holdings Plc and JPMorgan Chase & Co. arranged the offering, Vale said in a filing to Brazil’s securities regulator."
more: Vale Sells $1 Billion of 30-Year Bonds in Overseas Markets
Vale to Sell 30-Year Bonds in Overseas Markets Today
By Veronica Navarro Espinosa
Nov. 3 (Bloomberg) -- Vale SA, the Rio de Janeiro-based company that is the world’s largest iron-ore producer, plans to sell benchmark bonds today in its second overseas dollar note offering this year, said a person familiar with the transaction.
Vale may sell the bonds to yield 2.70 percentage points above similar-maturity U.S. Treasuries, said the person, who declined to be identified because terms aren’t set. A benchmark issue is typically for at least $500 million. Deutsche Bank AG, HSBC Holdings Plc and JPMorgan Chase & Co. are arranging the offering, Vale said in a filing to Brazil’s securities regulator."
more: Vale to Sell 30-Year Bonds in Overseas Markets Today (Update3) - Bloomberg.com:
Nov. 3 (Bloomberg) -- Vale SA, the Rio de Janeiro-based company that is the world’s largest iron-ore producer, plans to sell benchmark bonds today in its second overseas dollar note offering this year, said a person familiar with the transaction.
Vale may sell the bonds to yield 2.70 percentage points above similar-maturity U.S. Treasuries, said the person, who declined to be identified because terms aren’t set. A benchmark issue is typically for at least $500 million. Deutsche Bank AG, HSBC Holdings Plc and JPMorgan Chase & Co. are arranging the offering, Vale said in a filing to Brazil’s securities regulator."
more: Vale to Sell 30-Year Bonds in Overseas Markets Today (Update3) - Bloomberg.com:
Brazil's central bank calls auction to buy dollars
SAO PAULO, Nov 3 (Reuters) - Brazil's central bank offered to buy dollars on the spot foreign exchange market on Tuesday in an ongoing effort to boost international reserves and soak up greenbacks pouring into the economy.
The bank has bought about $20.78 billion on the spot market since May 8, including $6.518 billion in the month of October through Oct. 23, to soak up dollar liquidity and prevent further appreciation of Brazil's currency, the real.
Brazil's currency (BRBY) was trading 0.17 percent stronger at 1.753 per U.S. dollar shortly after the central bank's announcement. (Reporting by Silvio Cascione; Writing by Luciana Lopez; Editing by Andrea Ricci)
Brazil's central bank calls auction to buy dollars
Tue Nov 3, 2009 12:16pm EST
The bank has bought about $20.78 billion on the spot market since May 8, including $6.518 billion in the month of October through Oct. 23, to soak up dollar liquidity and prevent further appreciation of Brazil's currency, the real.
Brazil's currency (BRBY) was trading 0.17 percent stronger at 1.753 per U.S. dollar shortly after the central bank's announcement. (Reporting by Silvio Cascione; Writing by Luciana Lopez; Editing by Andrea Ricci)
Brazil's central bank calls auction to buy dollars
Tue Nov 3, 2009 12:16pm EST
Lula Says Brazil Assessing ‘Permanent Solution’ for Tax Cuts
Lula Says Brazil Assessing ‘Permanent Solution’ for Tax Cuts - Bloomberg.com:
By Iuri Dantas
Nov. 3 (Bloomberg) -- Brazilian President Luiz Inacio Lula da Silva said the Finance Ministry and the country’s consumer products manufacturers are discussing a “permanent solution” regarding tax cuts on home appliances.
The government is proceeding with “caution” as declining tax collection this year won’t be allowed to endanger “social programs and investment,” Lula said in his weekly newspaper column published on the presidency’s Web site.
“A more permanent solution is being discussed by the Finance Ministry” and industry representatives, Lula said. “Caution is needed.”
Finance Minister Guido Mantega on Oct. 29 announced that the government had decided to extend tax cuts on energy- efficient appliances for three months and might consider additional measures, without elaborating.
To contact the reporter on this story:’ Iuri Dantas in Brasilia at idantas@bloomberg.net
Last Updated: November 3, 2009 09:54 EST"
By Iuri Dantas
Nov. 3 (Bloomberg) -- Brazilian President Luiz Inacio Lula da Silva said the Finance Ministry and the country’s consumer products manufacturers are discussing a “permanent solution” regarding tax cuts on home appliances.
The government is proceeding with “caution” as declining tax collection this year won’t be allowed to endanger “social programs and investment,” Lula said in his weekly newspaper column published on the presidency’s Web site.
“A more permanent solution is being discussed by the Finance Ministry” and industry representatives, Lula said. “Caution is needed.”
Finance Minister Guido Mantega on Oct. 29 announced that the government had decided to extend tax cuts on energy- efficient appliances for three months and might consider additional measures, without elaborating.
To contact the reporter on this story:’ Iuri Dantas in Brasilia at idantas@bloomberg.net
Last Updated: November 3, 2009 09:54 EST"
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