Brazil’s ICT sector among those with most growth in the world despite slowing economy

download EUBrasil has commissioned a study by Cullen International into the sector’s role in Brazil and European Union’s economies. It will be presented at a dinner hosted by the association to the delegations of VII Dialogue Brazil-EU on Information Society, in the presence of representatives of private sector and MEPs, such as Carlos Zorrinho, vice-president of the Delegation for relations with Brazil, and Pilar Del Castillo, member of the Committee on Industry, Research and Energy. The event will be held next Monday in Brussels.

The report, “Brazil and EU digital economies: recent developments”, indicates that despite Brazil’s modest economic growth in recent years, its telecommunications market has been growing steadily, with gross revenues reaching €43bn in 2013. The annual increase in revenues was almost 4.4% in 2013 and 5.3% in 2012, representing approximately 4.7% of the Brazilian GDP.

The study highlights that, according to a recent European Information Technology report, Brazil is this year’s fastest growing IT country. In 2013, Brazil came second behind India.

In Europe, where the recent economic growth has also been modest, revenues in the electronic communications sector amounted to € 323.6bn in 2012, 3.3% lower than 2011, according to statistics published by the European Commission in June 2014. This decline contrasts with the trends in other parts of the world, showing a global growth of 4.2%.

However, the EU managed to reach 100% basic broadband coverage. Average broadband penetration in the EU has increased from January 2004 to January 2014, from 4.9% to 30% of population. Broadband take-up has been fostered by falling prices and higher speed offers, thanks to increased competitive pressure.

“The EU-Brazil dialogue is a key moment in order to continue the process of enhancing economic and development relations between Brazil and the EU. We are confident that both the EU and Brazil will keep strengthening strategic dialogues on the digital economy and on the common goal of boosting investments in fixed and mobile infrastructures”, says Luigi Gambardella, president of EUBrasil.

“The new Commission and the new Brazilian government are starting at the same time a new phase of public policies. The need for more investments is recognized in both areas. EUBrasil will work in order to facilitate the exchange of best practices and will promote high level dialogue between economic, social and political leaders. This is an exciting time: let’s work together for our common objectives”, adds Gambardella.

For the full report “Brazil and EU digital economies: recent developments” please click on the link here