ECONOMY
General Information
The main currency of the FRB is BRL – Brazilian real.
Key priorities of the country's socio-economic development are stimulating industrial production, developing infrastructure, diversifying exports, reducing social inequality, and preserving the natural resources of the Amazon.
According to International Monetary Fund estimates, Brazil's nominal GDP in 2024 amounts to 2,179 trillion US dollars.
The structure of the economy is distributed as follows: approximately 65% of GDP is formed by the service sector, 20% – by industry, 5% – by agriculture, and 10% – by other sectors.
The main sources of foreign currency earnings remain the export of agricultural products, including soybeans (53 bil. dollars in 2023), oil (42 bil.), and iron ore (30 bil.), as well as industrial goods.
Special attention is paid to the development of the "green" economy, including expansion of the use of renewable energy sources and implementation of sustainable agricultural methods.
Share of Economic Sectors
Brazil's economy is based on three key sectors: services, industry, and agriculture.
Tourism plays a special role in the country's economic development. The range of services offered to tourists includes diving, surfing, yachting, water skiing, as well as recreational, entertainment, and educational tourism.
Brazil's light and heavy industry are developing at a high pace. The main industries are mining, oil refining, textile and chemical production. Automotive and aviation production in the FRB are also at a high level of development.
Approximately 10% of the working population is employed in Brazilian agriculture. In terms of global agricultural exports, Brazil ranks third (approximately 6% of global exports). The main sectors are meat and meat products, vegetables, cane sugar, and coffee.
Foreign trade in 2023 reached an export volume of 339 bil. US dollars with imports of 252 bil. dollars. Key trading partners are China, USA, Argentina, and the Netherlands.
Export and Import
Exports from Brazil form approximately 18% of GDP. Key export items are:
- Agricultural products, including soybeans and corn (35%);
- Mineral fuels, including oil (20%);
- Ores, predominantly iron ore (15%);
- Food products, including meat and coffee (12%);
- Vehicles and spare parts (5%).
Main export partners are China (28%), USA (13.2%), Netherlands (4,49%), Argentina (4,34%), and Japan (2,41%).
The largest share of imported products consists of machinery and equipment (25%), chemical goods (20%), and electrical equipment (15%).
Main import partners: China, USA, Argentina, Germany.
Labor Force
Brazil's labor force as of 2024 is approximately 108 mil. people, which corresponds to 51% of the country's total population. The unemployment rate for 2024 decreased to 7,8%.
The average monthly wage in the formal sector reached 2900 Brazilian reals (approximately 580 US dollars).
The distribution of employment by economic sectors demonstrates the predominance of the service sector:
- Service sector – 70%;
- Industrial sector accounts for – 20%;
- Agriculture – 10%.
Brazil's labor market is characterized by:
- High share of informal employment;
- Gradual reduction of unemployment against the background of economic recovery;
Regional differences in employment levels and incomes.