Economic Recovery

With economic measures and actions to increase productivity, national industry celebrates date with positive numbers

Celebrated this Wednesday (25), the Day of Industry arrives with more optimism for the productive sector. The implementation of government measures and reforms to recover the Brazilian economy are some of the factors that make the date celebrated more positively.

With more encouragement and amid a scenario of falling inflation and the basic interest rate, expectations for the future are promising and the business environment is renewed every day. Analyzes of the financial market indicate that the recession is expected to end this year, with an advance of 0.5% of the Gross Domestic Product (GDP).

However, it was not possible to boost the domestic industry with only macroeconomic measures. For this reason, the federal government announced a series of actions over the past year to increase productivity and increase business efficiency.

In this context, the Brazil More Productive Program was created, which provided resources in the order of R $ 53.6 million for the development of innovative projects in industrial companies and technology startups.

Through the new Call for Innovation for the industry, 1,782 companies were served by the program, and a 52.4% increase in their productivity was identified, according to data from the Brazilian Institute of Geography and Statistics (IBGE) and Senai .

Micro and small businesses

With economic scenario in the line of growth, businessmen, economists and families became more confident. The base interest rate, the Selic, fell, and financial operations became more affordable. In practice, the positive results have made room for more business.

Still, the federal government took advantage of the launch of stimulus packages for micro and small businesses, a key segment for job creation and economic recovery. One of the main measures for this sector was the release of R $ 34 billion in lines of credit to these companies for use of working capital, investments and equipment purchases.

At the other end, the "More Simple Empreender" program was launched, which will free up R $ 8.2 billion to micro and small companies in the next two years, in partnership with Sebrae and Banco do Brasil. The measure is expected to serve 40,000 companies and also improve and reduce bureaucracy of business management.

Results

In analyzing the impact of these measures on the productive sector, the conclusion is that all the efforts made by these measures have avenged and paved the way for more efficiency and economic growth.

An example of this is industrial production, which has begun to show signs of recovery due to the recovery of the economy. In the first quarter, there was a 0.6% growth in the sector, breaking four years of negative results -  the last time industrial production was positive in the first quarter was in 2013, when it grew 2.1%.

After the discredit, industry confidence in the economy skyrocketed. The Industry Confidence Index, as measured by the National Confederation of Industry (CNI) hit 53.1 points in April, an improvement of 44.3% compared to the same period last year, when the indicator was at 36.8 points.

After starting the year on the rise, the Central Bank's Economic Activity Index (IBC-BR) resumed growth in February, increasing 1.31% over January in the adjusted series, indicating that the worst of the recession seems to have been in the past. All this translates into greater growth and income for the country.

Source: Portal Brasil, with information from CNI and Central Bank