When the world gets closer.

We help you see farther.

Sign up to our expressly international daily newsletter.

Economy

Big Goal: Can The World Cup Alone Boost Brazil's GDP?

Brazil is spending freely as it prepares to host the 2014 World Cup. The event is also expected to attract investment from abroad, and possibly boost Brazil’s country brand. But will it singlehandedly boost GDP by 1.5% as one top economist claims?

Let the good times roll (Peter Fuchs)
Let the good times roll (Peter Fuchs)

*NEWSBITES

From China's slowing economy to the crisis in Europe to the delays in its pre-salt oil drilling plans - Brazil has no shortage of economic uncertainties to contend with. At least the South American giant has one thing on the horizon that's about as close to a sure thing as there is: the World Cup.

Over the next three years, Brazil, the next World Cup host country, can expect a GDP bump of 1.5% thanks to the soccer tournament alone, according to Ilan Golfajn, the chief economist from Brazil's Itaú Bank. A bit far fetched? Golfajn stands by the prediction, which he first made publicly during a seminar last year in São Paulo. The 2014 event, he claims, will generate direct investments of some $20 billion and create 250,000 jobs. And that's not all. Besides the boost it will give Brazil's hotels, some of which already have reservations for the month-long tournament, there's also what Golfajn calls the "brand effect."

"The image being broadcast globally is that Brazil is a country open to trade. That positive image will help us raise exports," he said.

Golfajn expects the World Cup will benefit both large firms – specifically the ones overseeing the major pre-tournament infrastructure projects – and the smaller and medium-sized companies that supply them.

Not that the benefits will be automatic for everyone. During the same seminar, Carlos Eduardo Maccariello, the director of technological productions for the Itaú Empresas division, urged companies keen to cash in on the event to plan their strategies starting now. Otherwise they risk ending up missing both the kickoff...and the victory party.

Read the original article in Spanish

Photo - Peter Fuchs

You've reached your monthly limit of free articles.
To read the full article, please subscribe.
Get unlimited access. Support Worldcrunch's unique mission:
  • Exclusive coverage from the world's top sources, in English for the first time.
  • Insights from the widest range of perspectives, languages and countries
  • $2.90/month or $19.90/year. No hidden charges. Cancel anytime.
Already a subscriber? Log in

When the world gets closer, we help you see farther

Sign up to our expressly international daily newsletter!

Members of the search and rescue team from Miami search the rubble for missing persons at Fort Myers Beach, after Florida was hit by Hurricane Ian.

Sophia Constantino, Laure Gautherin, Anne-Sophie Goninet

👋 Shlamaloukh!*

Welcome to Tuesday, where North Korea reportedly fires a missile over Japan for the first time in five years, Ukrainian President Zelensky signs a decree vowing to never negotiate with Russia while Putin is in power, and a lottery win raises eyebrows in the Philippines. Meanwhile, Argentine daily Clarin looks at how the translation of a Bible in an indigenous language in Chile has sparked a debate over the links between language, colonialism and cultural imposition.

[*Assyrian, Syria]

Keep reading...Show less

When the world gets closer, we help you see farther

Sign up to our expressly international daily newsletter!
You've reached your monthly limit of free articles.
To read the full article, please subscribe.
Get unlimited access. Support Worldcrunch's unique mission:
  • Exclusive coverage from the world's top sources, in English for the first time.
  • Insights from the widest range of perspectives, languages and countries
  • $2.90/month or $19.90/year. No hidden charges. Cancel anytime.
Already a subscriber? Log in
THE LATEST
FOCUS
TRENDING TOPICS

Central to the tragic absurdity of this war is the question of language. Vladimir Putin has repeated that protecting ethnic Russians and the Russian-speaking populations of Ukraine was a driving motivation for his invasion.

Yet one month on, a quick look at the map shows that many of the worst-hit cities are those where Russian is the predominant language: Kharkiv, Odesa, Kherson.

Watch VideoShow less
MOST READ