BR

COUNTRYPROFILE BRAZIL

IMD World Competitiveness Yearbook 2020, Digital 2020, Talent 2019: summaries

WORLD COMPETITIVENESSRANKING 2020

All data are available from theWorld Competitiveness Online.

Visit our eShop

BASIC FACTSCapital

Land area (square km '000) 8,5162019

Exchange Rate (per $) 3.9442019

Population - market size (millions) 210.152019 5

Gross Domestic Product (GDP) (US$ billions) 1,839.82019 9

GDP (PPP) per capita (US$) 16,5622019 53

Real GDP growth (%) 1.12019 48

Consumer price inflation (%) 3.732019 53

Unemployment rate (%) 11.902019 58

Labor force (millions) 106.072019 5

Current account balance (% of GDP) -2.692019 50

Direct investment stocks inward ($bn) 684.22018 12

Direct investment flows inward (% of GDP) 4.272019 9

PEER GROUPS RANKINGSTHE AMERICAS (9 countries) POPULATIONS > 20 MILLION (29 countries)

COMPETITIVENESS TRENDS - OVERALL

BRAZILOVERALL PERFORMANCE (63 countries) Rank

Brasilia

CHALLENGES IN 2020Modernizing and improving the quality of infrastructure and

logistics.

Fundação Dom Cabral, Innovation and Entrepreneurship Center

COMPETITIVENESS LANDSCAPE

5761 60 59

56

2016 2017 2018 2019 2020

44

59

28

56

38

63

38

60 59 62 61

47

3539

4754 54

41 40

63

Dom

estic

Eco

nom

y

Inte

rnat

iona

l Tra

de

Inte

rnat

iona

l Inv

estm

ent

Empl

oym

ent

Pric

es

Publ

ic F

inan

ce

Tax

Polic

y

Inst

itutio

nal F

ram

ewor

k

Busi

ness

Leg

isla

tion

Soci

etal

Fra

mew

ork

Prod

uctiv

ity &

Effi

cien

cy

Labo

r M

arke

t

Fina

nce

Man

agem

ent

Prac

tices

Att

itude

s an

d V

alue

s

Basi

c In

fras

truc

ture

Tech

nolo

gica

l Inf

rast

ruct

ure

Scie

ntifi

c In

fras

truc

ture

Hea

lth a

nd E

nvir

onm

ent

Educ

atio

n

Economic Performance Government Efficiency Business Efficiency Infrastructure

8 8 87 7

2016 2017 2018 2019 2020

2628 28 27 26

2016 2017 2018 2019 2020

• Modernizing and improving the quality of infrastructure and logistics.

• Improving innovation capability and developing knowledge-intensive sectors.

• Restoring stability and confidence in the political environment.• Improving the educational system quality, looking for better

labor productivity.• Making the trade bureaucracy and tax regulations more efficient.

Provided by:Fundação Dom Cabral, Innovation and Entrepreneurship Center

IMPROVEMENTSWCY 2019

WCY 2020 DECLINES

WCY 2019

2.4.12 New business density 0.1 1.3 2.3.08 Exchange rate stability 0.066

2.1.11 Pension funding 1.47 3.96 1.2.02 Current account balance -0.78

2.1.09 Public finances 2.25 4.36 1.1.18 Gross fixed capital formation - real growth 4.13

2.3.02 Cost of capital 1.94 3.70 1.1.15 Real GDP growth per capita 0.38

1.4.04 Employment - long-term growth -6.48 -0.90 4.3.16 Patent applications per capita 3.61

2.3.13 Bribery and corruption 1.08 1.99 1.2.17 Export concentration by partner 49.5

2.3.12 Bureaucracy 0.79 1.42 4.1.04 Access to water 5.61

4.4.04 Health infrastructure 2.14 3.21 1.1.19 Resilience of the economy 5.03

2.4.02 Protectionism 2.99 4.14 1.2.08 Exports of goods ($bn) 239.68

3.2.21 Brain drain 3.35 4.49 1.2.18 Export concentration by product 46.3

3.3.19 Corporate debt 3.80 5.03 1.2.09 Exports of goods (%) 12.83

2.3.11 Transparency 2.84 3.75 2.3.07 Foreign currency reserves per capita 1,791

2.4.13 Creation of firms 2.49 3.24 4.1.20 Electricity costs for industrial clients 0.125

3.3.08 Stock markets 4.47 5.76 3.2.10 Employee training 5.06

4.5.15 Primary and secondary education 2.13 2.74 2.4.09 State ownership of enterprises 4.39

COMPETITIVENESS EVOLUTION & ATTRACTIVENESS INDICATORS

BRAZILCOMPETITIVENESS EVOLUTION

0.232

3.29

53.7

5.15

4.63

222.64

49.1

4.85

The criteria below highlight the 15 biggest Improvements and the 15 biggest Declines in the overall performance of the economy. They are

determined by the largest percentage changes in the value of each criterion from one yearbook to the next.

WCY 2020

4.23

KEY ATTRACTIVENESS INDICATORSFrom a list of 15 indicators, respondents of the Executive Opinion Survey were asked to select 5 that they perceived as the key

attractiveness factors of their economy. The chart shows the percentage of responses per indicator from the highest number of responses

to the lowest.

-2.69

2.24

0.34

12.10

1,698

0.131

3.8%6.9%9.2%9.2%10.0%11.5%13.8%24.6%32.3%36.2%38.5%43.1%43.1%69.2%77.7%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Competitive tax regimeReliable infrastructure

Competency of governmentStrong R&D culture

Policy stability & predictabilityEffective legal environment

High educational levelEffective labor relations

Access to financingQuality of corporate governance

Business-friendly environmentCost competitiveness

Skilled workforceDynamism of the economy

Open and positive attitudes

WORLD COMPETITIVENESSDIGITAL RANKING 2020

All data are available from theWorld Competitiveness Online.

Visit our eShop

Alpha AlphaLabelBeta BetaLabel Gamma GammaLabel1 2 2 2 2 2 24 4 4 2 2

6.5 4 4 2 28.5 4 4 2 211 4 4 2 2

2016 2017 2018 2019 2020

54 55 57 57 51

54 55 62 59 57

54 55 55 57 57

49 44 47 43 43

OVERALL

Future readiness

PEER GROUPS RANKINGS

THE AMERICAS (9 countries) POPULATIONS > 20 MILLION (29 countries)

COMPETITIVENESS & DIGITAL RANKINGS

Technology

DIGITAL TRENDS - OVERALL

BRAZIL

OVERALL PERFORMANCE (63 countries)

OVERALL & FACTORS - 5 years

Knowledge

54 5557 57

51

57

61 6059

56

2016 2017 2018 2019 2020

Digital

Competitiveness

5 5 6 5 4

2016 2017 2018 2019 2020

22 23 24 2420

2016 2017 2018 2019 2020

57 62 61 27

57 52 58 5051

43 39 41 48

Knowledge Talent Training & education Scientific concentration

Technology Regulatory framework Capital Technological framework

Future readiness Adaptive attitudes Business agility IT integrationThe direction of the triangle indicates the performance change from the last year: improved or stabledeclined

Overall Factors Sub-Factors

N.B. This graph provides only a comparison of the country’s performance in the two rankings.

u Overall top strengths

w Overall top weaknesses

Subfactors 2016 2017 2018 2019 202059 60 61 61 62

49 48 57 59 61

43 44 54 44 27

Talent Rank Rank Rank

Educational assessment PISA - Math 55 w 59 31 International experience 56 u 9 44 Foreign highly-skilled personnel 57 56 u 8w Management of cities 59 46 u 9w Digital/Technological skills 60 55 40 Net flow of international students 41 51 46 u 14

Subfactors 2016 2017 2018 2019 202058 60 59 57 52

54 56 56 61 58

47 48 47 47 50

Regulatory framework Rank Rank Rank

Starting a business 58 42 w 59 Enforcing contracts 42 55 23 Immigration laws 30 45 43 Development & application of tech. 55 56 46 Scientific research legislation 55 49 49 Intellectual property rights 51 38 31

Subfactors 2016 2017 2018 2019 202044 45 38 33 39

51 46 52 58 41

48 49 51 49 48

Adaptive attitudes Rank Rank Rank

E-Participation 18 44 47 Internet retailing 43 17 56 Tablet possession 47 39 51 Smartphone possession 34 w 58 36 Attitudes toward globalization 44 54 u 18

Training & education Scientific concentration

Talent

Robots in Education and R&D

IT integration

Business agility IT integration

Scientific concentration

Capital Technological framework

FACTORS BREAKDOWN - STRENGTHS AND WEAKNESSES

BRAZIL

FUTURE READINESS

TECHNOLOGY

Opportunities and threats E-GovernmentWorld robots distribution Public-private partnerships

IT & media stock market capitalization Communications technology

Regulatory framework

Capital

Technological framework

KNOWLEDGE

Entrepreneurial fear of failure

Agility of companies Cyber securityUse of big data and analytics Software piracyKnowledge transfer

Adaptive attitudes

Business agility

Venture capital Internet bandwidth speedInvestment in Telecommunications High-tech exports (%)

Funding for technological development Mobile Broadband subscribersBanking and financial services Wireless broadbandCountry credit rating Internet users

Training & education

Employee training Total expenditure on R&D (%)Total public expenditure on education Total R&D personnel per capitaHigher education achievement Female researchersPupil-teacher ratio (tertiary education) R&D productivity by publicationGraduates in Sciences Scientific and technical employmentWomen with degrees High-tech patent grants

WORLD TALENTRANKING 2019

All data are available from theWorld Competitiveness Online.

Visit our eShop

Alpha AlphaLabel Beta BetaLabel Gamma GammaLabel1 2 2 2 2 2 24 4 4 2 2

Value

u 6.2 % 8u 21.7 % 28 1,948 US$ 44 24.26 ratio 56 24.65 ratio 59 4.08 Survey [0..10] 51 5.06 Survey [0..10] 53u 44.02 % 44w 2.14 Survey [0..10] 61

Value

82.40 index 35 5.83 Survey [0..10] 49 4.99 Survey [0..10] 48 3.35 Survey [0..10] 52 3.97 Survey [0..10] 58 3.06 Survey [0..10] 58 15,916 US$ 36 100,107 US$ 48u 9.02 % 14 2.98 Survey [0..10] 51u 12.79 micrograms 23

Value

0.93 % 31 3.50 Survey [0..10] 57 4.34 Survey [0..10] 60 4.28 Survey [0..10] 58 4.03 Survey [0..10] 56w 2.13 Survey [0..10] 62 17.73 % 56w 3.59 Survey [0..10] 61w 3.97 Survey [0..10] 61w 2.88 Survey [0..10] 63 0.10 number 58 389 Average 56

Investment & Development 2019 Rank

Health infrastructure meets the needs of society

2019 Rank

Total public expenditure on education Percentage of GDP

Pupil-teacher ratio (secondary education)Apprenticeships are sufficiently implemented

Readiness 2019 Rank

Educational assessment - PISA PISA survey of 15-year olds

Appeal

Exposure to particle pollution Mean population exposure to PM2.5, Micrograms per cubic metre

is readily available

Labor force growth Percentage change

Skilled labor

Management education meets the needs of the business community

Language skills are meeting the needs of enterprises

Student mobility inbound Foreign tertiary-level students per 1000 inhabitants

Primary and secondary education meets the needs of a competitive economy

Graduates in Sciences % of graduates in ICT, Engineering, Math & Natural Sciences

University education meets the needs of a competitive economy

Finance skills are readily available

International experience of senior managers is generally significant

Competent senior managers are readily available

Justice is fairly administered

Remuneration in services professions Gross annual income including supplements such as bonuses, US$

Remuneration of management Total base salary plus bonuses and long-term incentives, US$

Effective personal income tax rate Percentage of an income equal to GDP per capita

Brain drain (well-educated and skilled people) does not hinder competitiveness in your economy

Quality of life is high

Foreign highly-skilled personnel are attracted to your country's business environment

Cost-of-living index Index of a basket of goods & services in the main city, including housing (New York City = 100)

Attracting and retaining talents is a priority in companies

Worker motivation in companies is high

Gov. expenditure on education per student Percentage of GDP per capita (secondary education)

Total public exp. on education per student

BRAZIL

Spending per enrolled pupil/student, all levels

Pupil-teacher ratio (primary education) Ratio of students to teaching staff

Ratio of students to teaching staff

Employee training is a high priority in companies

Female labor force Percentage of total labor force

IMD World Talent Ranking 2019

OVERALL PERFORMANCE (63 countries)

54

45

52

58

61

39 39

45

49

52

44

47 47

53

49

61

54

61 6162

2015 2016 2017 2018 2019

Overall

Investment &Development

Appeal

Readiness

52

4961

62

Investment & Development

Appeal

Readiness

The direction of the triangle indicates the performance change from the last year: improved or stabledeclined

2020

IMD WORLDCOMPETITIVENESSYEARBOOK

IMD

Wor

ld C

ompe

titive

ness

Year

book

About the Institute for Management Development (IMD)

IMD is an independent academic institution with Swiss roots and global

reach, founded almost 75 years ago by business leaders for business

leaders. Since its creation, IMD has been a pioneering force in developing

leaders who transform organizations and contribute to society.

Based in Lausanne (Switzerland) and Singapore, IMD has been ranked

in the Top 3 of the FT’s annual Executive Education Global Ranking for

the last nine consecutive years and in the top five for 17 consecutive

years. Our MBA and EMBA programs have repeatedly been singled out

among the best in Europe and the world.

We believe that this consistency at the forefront of our industry is

grounded in IMD’s unique approach to creating “Real Learning. Real

Impact”. Led by an expert and diverse faculty, we strive to be the trusted

learning partner of choice for ambitious individuals and organizations

worldwide. Challenging what is and inspiring what could be.

www.imd.org

IMD, IMD INTERNATIONAL, REAL LEARNING. REAL IMPACT, IMD BUSINESS SCHOOL and IMD WORLD COMPETITIVENESS YEARBOOK are trademarks of IMD - International Institute for Management Development