New Records in Brazilian domestic Tourism - Brazil out of Recession

Of the G 20 counties, Brazil was one of the last countries to enter into recession due to the world financial crisis, and is now also one of the first countries to emerge from the global financial recession. During the last quarter of April to June 2009, Brazil’s GDP has seen an increase of 1,9%. In the last quarter of 2008, Brazil saw a decrease of 3,4% and for the first quarter of 2009, the economy shrank by 1 %.

Leading economists forecast that Brazil’s economy will continue to grow at a faster rate during 2010 reaching growth rates of close to 4%, which is not far away from the growth rates of 6% Brazil enjoyed before the global financial crisis.

The main driver for the economical growth in Brazil is the strong domestic demand from the big Brazilian market of approx 190 consumers. Brazilian households have been increasing their consumption, which has been the main reason for the mild and short recession in Brazil that technically only lasted for two quarters.

Strong fundamentals for market stability

Several banks and credit rating agencies such as Standard and Poor’s and Fitch Ratings, have highlighted the strong Brazilian economy and it’s immunity to external shocks. As a result, Brazil’s has maintained positive credit ratings and will see improved investment-grade ratings.

Compared to countries such as China and USA, where the government’s stimulus packages are already 13% and 6,7% respectively of their GDP, in Brazil the stimulus packages only account for 1,5% of GDP. Due to this, in 2010 Brazil’s economy will be in a far better fiscal and economical position compared to most G20 countries.

Growing domestic tourism market in Brazil

A good example of the growing domestic consumer market in Brazil is the Brazilian travel industry. In July 2009, domestic flight departures in Brazil reached a 40-year high. With 5 181 790 flight departures in July 2009, the growth compared to July 2008 shows a growth of 23,13%.

In 2008, Brazil recorded 48 702 482 domestic flight departures, and for 2009 the official forecast is that the number will reach 52 000 000, which will be a new record for the domestic tourism industry in Brazil.

Growing domestic tourism - strong fundamentals for Real Estate in Brazil

Due to big and growing Brazilian consumer market, Brazil is currently one of the best places in the world to invest in real estate. Very few markets can offer such a strong and growing domestic market as Brazil has. As can be seen from the above numbers, the Brazilian travel industry has already recovered from the crisis and is growing again.

One of the most popular tourist areas in Brazil is the coastal town of Pipa on the Natal coastline in the northeast of Brazil. Pipa has long been a favourite travel destination for Brazilians, and now with a growing domestic travel industry, Pipa will see even more Brazilian tourists.

Brazilian Homes offers an excellent portfolio of property for sale in Pipa. Buying a property in Pipa is an excellent way to benefit from the strong Brazilian Market, whether for rental or capital growth purposes.

Natal and Fortaleza are also long-term favourites for the Brazilians, and these areas will also enjoy from the growing domestic tourism market. Brazilian Homes has a great selection of property for sale in Fortaleza, as well as excellent properties in Natal Brazil. Maceio is another area that will benefit from an ever-increasing influx of Brazilian tourists. Be sure to check our selection of property for sale in Maceio.

"Invest in Brazilian real estate and start to benefit from one of the fastest growing domestic tourism markets in the world."