Brazil – The darling of the pink pages

Forget the travel and property writers; it’s the financial analysts that can’t get enough of the Brazilian success story. Jim O’Neill, Head of Economic Research for Goldman Sachs, invented an entirely new acronym in 2001, BRICs, standing for Brazil, Russia, India and China, just so that he could track their phenomenal growth.

In his 2006 research document, O’Neill believes that by 2050, the BRICs economies will grow so large that they will each become members of the largest economies in the world. Collectively, he predicts that the four BRICs economies will become bigger than the aggregate size of the G7 (France, Germany, Italy, Japan, UK, Canada and the USA), also by 2050. If people dismiss his reckonings as the stuff of dreams, O’Neill cites the fact that their influence is already being felt on the world. Over the past five years more than a quarter of world growth in US dollar terms has come from the BRICs economies.

The next decade will become the peak of growth for the BRICs according to O’Neill. He believes that the middle classes in the BRICs nations will grow four-fold over the next decade and that Brazilians will be buying more new cars than each of the other G7 countries except the USA. The BRICs countries have really captured the general publics’ and the investors’ attention and O’Neill concludes by saying that over the next 45 years, if the four pursue good economic policies, their economies collectively could become the biggest in the world and if you have invested in the BRICs dream, you will almost definitely see “pretty spectacular” returns.

When looking at property investment in Brazil, global investment bank, the Lehman Brothers are singing from the same hymn sheet as Goldman Sachs, they note that "currently, prices for desirable properties across the country are artificially low and this gives an investor a chance to buy in now and profit well in the short term or hold for long term appreciation and/or income generation. We're truly hot on Brazil right now for the above highlighted reasons, and we would recommend Brazilian property assets be held as part of a diverse portfolio of assets". And with Luiz Inácio ‘Lula’ da Silva’s recent re-election for the 2007 -2010 presidential term, the continuing success of government reforms is now guaranteed.

GEM Estates is in no position to disagree with the mighty intellect of Goldman Sachs and the Lehman Brothers, so it too believes in the phenomenal investment potential of Brazil, in particular the north east coastline. Natal is set to receive 1.8 billion US dollars of investment into new hotels, resorts and golf courses and a brand new airport, São Gonçalo del Amarante, will be operational from June 2009, the largest passenger and cargo airport in Latin America and incredibly the eighth biggest in the world.

The last few remaining units of phase one at Porto dos Corais, just 150 metres from the beach, are available priced between 800 and 1,000 euros per square metre for a fully furnished unit. The next phase, due for release over the coming months, will be priced from 1,300 euros per square metre. So to make the most of the BRICs phenomenon, you need to make a reservation now.

For further information, visit gem-estates.com.