Direct investment in Brazil from Portugal rose 48.9% in 2007 in comparison with the previous year, reaching US$ 519 million, said a Portuguese Central Bank source. Portuguese investment represented 1.5% of the total invested by foreigners in Brazil last year (US$ 34.6 billion).
Most of the Portuguese investment (US$ 324 million) went into the service sector, with a special highlight to the financial area, with Bradesco bank receiving the largest volume of funds coming from Portugal – US$ 143 million.
Bradesco is a partner of Portuguese group Espírito Santo (BES). Both banks have a partnership that includes crossed participation of approximately 3% of their capital. Apart from that, Bradesco has 20% of BES Investment Brazil.
In Brazilian industry the Portuguese invested US$ 53 million and in agriculture, US$ 4 million. Operations under US$ 1 million are not listed specifically, but they totaled US$ 80 million.
Prominent last year was Portuguese investment by Aero LB Participações, in the transport sector, which invested US$ 32 million in the country, Alnilan, a rubber and plastic product maker (US$ 31 million) and White Martins Industrial Gas (US$ 18 million).
Portugal rose from the 15th main foreign investor in Brazil in 2006 to the 14th place last year, losing only to the Netherlands, the United States, Luxembourg, Spain, Germany, they Cayman Islands, Bermuda, France, the United Kingdom, Switzerland, Canada, Chile and Bahamas.
The return of investment to Portugal totaled US$ 230 million, of which US$ 160 million were from Bradesco.
Foreign direct investment in Brazil reached a record US$ 34.6 billion last year, 84.3% over the US$ 18.7 billion that entered the country in the previous year.
Lusa