Market Research Report
Construction in Brazil - Key Trends and Opportunities to 2025 (Q3 2021)
|Construction in Brazil - Key Trends and Opportunities to 2025 (Q3 2021)|
Published: September 30, 2021
Content info: 56 Pages
Delivery time: 1-2 business days
Brazil's construction industry is now forecast to grow by 5.8% in 2021, before it moderates to an annual average growth of 2.8% over the remainder of the forecast period (2022-2025). This compares to the previous forecasts of 4.1% for this year. The revision reflects stronger-than-expected construction growth in the second quarter of 2021, favorable base effects and government investment in housing and transport infrastructure. The government's housing program, "Casa Verde e Amarela", as well as planned concessions by the end of next year, are expected to support investment and growth in the industry in the coming years.
The Ministry of Infrastructure expects a BRL267.8 billion (US$50 billion) investment boom in the development and modernization of the country's roads, rail, airports and ports by 2022, driven by concession projects.
Despite the country's ongoing challenges in containing the spread of Coronavirus (COVID-19), the latest data from the Brazilian Institute of Geography and Statistics (IBGE) indicated that Brazil's construction industry performed much stronger-than-expected construction growth in Q2 2021, with output posting a year-on-year (Y-o-Y) rise of 13.1% in real terms, up from construction of 0.9% in Q1 2021, and 4.8% in Q4 2020. However, there are concerns for this growth to be sustained over the course of the year of the due to the continued shortage of building materials and higher prices, as well as uncertainty over the duration and behavior of the virus.
Growing political and fiscal risks ahead of next year's presidential elections are expected weigh on activity in 2022, potentially undermining the government's efforts to facilitate more foreign and private sector investment in the country.
GlobalData's Construction in Brazil - Key Trends and Opportunities to 2025 (Q3 2021) report provides detailed market analysis, information and insights into Brazil's construction industry, including -
This report provides a comprehensive analysis of the construction industry in Brazil. It provides -