Extended holidays, release of the FGTS and the relaxation of restrictive measures against Covid-19. These are the main factors responsible for the 2% increase in Brazilian traders’ confidence in April, when compared to the previous month.
The result was released this Tuesday (26) by the National Confederation of Commerce in Goods, Services and Tourism (CNC).
The optimistic perception of entrepreneurs, according to CNC, may have been stimulated by sales at Easter, actions and promotions focused on Mother’s Day, off-season Carnival, expectations for the payment of the thirteenth salary of retirees and the increase in participation of payroll-deductible loans from 35% to 40% in personal indebtedness.
In addition, the entry into the economy of resources from the Severance Indemnity Fund (FGTS) also encourages the market, according to the survey.
The April result reverses the trend of recent months, as in February and March 2022, the indicator fell by 1.2% and 1.3%, respectively. Although unstable, the results show an improvement compared to 2021.
Comparatively, in the same period last year, the index had fallen by 9.24%, portraying the uncertainties and insecurities of that moment, when social restrictions were rigid and the pandemic presented the worst epidemiological scenarios.
For economist Renan Pieri, from Fundação Getúlio Vagas, the sector’s optimism is related to the number of unemployed in the country, which fell by 11.2% in the last quarter, according to the Brazilian Institute of Geography and Statistics (IBGE).
“The end of restrictions on the movement of people and the resumption of employment in Brazil are good news for the business community. Despite the other economic problems facing the country, such as inflation, we are on a trajectory of higher investments and a greater number of jobs. With more people working, there is more income circulating and, consequently, more people consuming”, concluded Pieri.
According to CNC, the optimism of entrepreneurs grew in all regions of Brazil, especially in the North, with a growth of 3.8%.
Soon after, the business community of the Midwest appears, with the positive effects of the growth of the agricultural sector and the rise in commodities.
The main productive area of the country, the Southeast, registered a less expressive growth: 1.7%.
The survey also points out that confidence in Brazil was driven by small companies, in which entrepreneurs increased optimism by 2.1%.
Multinationals, with more than 50 employees, maintain stagnant optimism.
Source: CNN Brasil
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