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10/03/2017 - 13:51hs

Investment intent by industries increases

Index measured by Fundação Getulio Vargas shows improvement regarding investment plans by Brazilian industries early this year.

Rio de Janeiro – The Indicator of Industry Investment Intent, measured by Fundação Getulio Vargas, increased 6.9 points in Q1 this year over the previous quarter. It’s the fourth consecutive increase and, with this result, the indicator has reached 100 points, the highest level since Q1 2015 (11.8 points).

The index ranges from zero to 200 points. The 100 points threshold is the neutral zone between pessimism (below 100 points) and optimism (above 100 points).

In Q1 this year, the percentage of companies that plan to increase investments in the next 12 months was 19.9%, the same percentage of the companies that are planning to reduce investments. In the previous quarter, the percentage of companies that planned to make investments was only 17.8%, while that of those planning to reduce investments were 24.7%.

*Translated by Sérgio Kakitani

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