MercoPress. South Atlantic News Agency

Brazil records highest foreign investment inflow in a decade

In 2025, Brazil thrived regionally, given Argentina's shaky transition and Chile's moderate growth

The Brazilian government announced on Sunday that Foreign Direct Investment (FDI) reached US$84.1 billion between January and November 2025, marking the highest volume of capital inflow since 2014.

According to the Planalto Palace, the administration of President Luiz Inácio Lula da Silva attributes this surge to a strategic “international repositioning” and an aggressive diplomatic agenda aimed at restoring global investor confidence.

The November data showed inflows reaching US$9.8 billion, a 72% yoy increase. In the first eleven months of the year, the total volume of investment had already outpaced 2024's total of US$74 billion by 13.5%.

Economists note that Brazil is now within reach of all-time historical highs, previously achieved during Dilma Rousseff’s administration (2011–2014), which saw peaks of up to US$102.4 billion.

The executive branch highlighted that foreign policy has become a central pillar of its national reconstruction project. The official balance sheet detailed a high-intensity diplomatic schedule over the last three years, during which Brazil has “created favorable conditions for opening markets and defending national interests,” by opening more than 500 new international markets for Brazilian products since 2023.

Positioned as the preferred destination for foreign capital in South America, Brazil is using these figures to demonstrate resilience against current global geopolitical challenges. The government maintains that the stability and predictability offered by the current administration are the primary factors behind the US$10 billion jump in FDI compared to the previous year.

According to Brazil's Central Bank (BCB) and Development Ministry data for late 2025, Renewable Energy and Green Hydrogen accounted for 34% of investments, followed by Agribusiness and Infrastructure (28%), Technology and AI Data Centers (18%), and Oil and Gas (12%).

Furthermore, the massive inflow of dollars has acted as a critical stabilizer for the Real in a year marked by high interest rates and global volatility. The BCB has thus maintained robust reserves, standing currently at around US$355 billion.

In 2025, Brazil thrived regionally, given Argentina's shaky transition and Chile's moderate growth.