Booming Times for Brazil’s Consumers

Salvador,

Consumers in the United States are tightening their belts while Brazilians are spending money like it is growing on trees.  Brazil's middle class is growing rapidly.  Even some creditworthly Americans cannot find a mortgage; Brazilians are taking out loans like never before.  Latin America is looking less chained to the fortunes of the United States.  Brazil is doing well thanks to a combination of factors.  High product and service prices, pushed by demand from China, have brought in hard currency and created jobs for many.  Wages are rising and unemployment is falling for Brazil.  With both government and outside analysts insisting the economy can withstand the effects of a global slowdown, banks and companies are confident enough to lend to consumers over longer periods than ever before seen.  Because of the twin economic and credit booms, bigger-ticket items like houses, cars, and electronics are within the reach of up to 20 million more Brazilians than ever before.  Sales are up 31 percent so far this year.  The proportion of personal debt is predicted to rise from 38 percent to 40 percent this year alone, and increase by another 3 percent each year until 2013.  People that weren't consumers are now consumers, everyone is taking more money home than they ever have before  If you want credit you can get it, it is that simple.  Brazil is lucky enough to have everything the United States is lacking currently.

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