Brazil has the largest economy in Latin America and the 7th largest in the world. While it has experienced strong growth of around 7.5% in recent years, inflation has also risen above 5% due to factors like growth, a overvalued currency, and capital inflows. To address inflation, Brazil has tried raising interest rates and implementing spending cuts of 50 billion reals, though some critics argue bigger spending cuts and other measures are needed to overhaul public finances and control inflation while still promoting growth.

1. BrazilInflation & Growth

2. OverviewBrazil : economic overviewGrowthIn the worldLabour growthInflationCausesSolutionsConclusionSources

3. Brazil : economic overviewBRICLargest economy in Latin America7th largest economy in the world (IMF)Unemployment rate : 8.5 %Main export productsMetalsAircraft & electrical equipmentsCoffee & soybeansTextiles & footwear

4. Growth : in the world8th largest GDP in worldGDP : + 7.5% (2010)Petrobras (oil & gas) : ranked 8thVale (mining) : ranked 49thStill growingMany opportunities

5. Growth : labourLabour force : 103.6 millionRanked 6th in worldToo few engineers and the likeAttraction of foreign workersMostly from the US

6. Inflation : causesInflation above 5%CausesGrowthOvervalued Brazilian RealCapital inflow

7. Inflation : solutionsAttemptsRaised rates from 10.75% to 11.25%Raised rates from 11.25% to 11.75%50 bnreais of spending cutsOther solutions (critics)70 bnreais of spending cutsOverhaul of the public financesBig increase in banks’ reserve requirements

8. ConclusionBrazil = growthWill keep growing in next decadeGrowth has to be controlledAnti-inflation measuresBut keep stimulating growthKeeping economy healthy

9. Sourceshttp://www.laposte-export-solutions.co.uk/uk/markets/country-profiles/brazil/presentationhttps://www.cia.gov/library/publications/the-world-factbook/geos/br.htmlBBC News - Americans eye opportunities in Brazil's booming economyBBC News - Brazil pledges 50bn of spending cutsBBC News - Brazil raises intrest rates