UAE fund announce a $1bn investment in Brazil
The company has already invested over $5bn in the country
The investment arm of Abu Dhabi’s sovereign wealth fund is highly optimistic about Brazil’s growth prospects under the leadership of Brazilian President Luiz Inacio Lula da Silva. The company plans to invest more than one billion US dollars (equivalent to five billion reais) per year to expand its holdings in the country. According to a Bloomberg report, these investments span a wide range of sectors, from oil refineries to road concessions.
In more than a decade since entering Brazil to invest in the commodities business, the company has already invested more than five billion US dollars in the country. Oscar Fahlgren, president of an investment company in Brazil, said in an interview. According to Fahlgren, the scale and yield potential make Brazil the most attractive destination in South America.
“GDP is growing faster than expected and we have seen political stability since the new administration took office. The mood in the international community has become more favourable towards Brazil,” he said.
In addition, the company plans to start raising money for an even larger fund in 2024, as reported by
Brasil 247, a partner of TV BRICS.
According to Fahlgren, the entry of the United Arab Emirates into the BRICS group will most likely lead to increased capital flows between member countries.