Posts Tagged ‘Rio’

Brazil’s Unemployment Rate Continues to Drop

December 3, 2009

Brazil’s unemployment rate dipped again in October, this time returning to pre-crisis levels and hinting at a strong rebound ahead for Latin America’s biggest economy.

The jobless rate fell to 7.5% in October, the same as in October a year ago and slightly below forecasts, the Brazilian Census Bureau, or IBGE, said Thursday. Unemployment was 7.7% in September, down from 8.1% in August.

Jankiel Santos, an economist at Sao Paulo’s BES Investimentos fund, said October’s data reinforced the view that “labor market conditions remain quite favorable and should lend a hand to the Brazilian economy to keep on expanding in coming months.”

IBGE October data also showed average real incomes were 3.2% higher than October last year, indicating that the number at work enjoyed higher spending power and could thus more easily contribute to Brazil’s consumer boom.

Cimar Azevedo, IBGE director for employment data, pointed out that the average formal employment rate was 44.9% of the workforce in the January through October period, higher than the 44.4% level in the year-ago comparison.

October’s jobless rate declined for a third consecutive month, pointing to a steady rate of economic recovery, with better prospects ahead in the run-up to Christmas.

Roberto Padovani, chief Latin American strategist for WestLB Bank, predicted a strong rebound for Brazil in 2010, with economic growth reaching 4.8% after a 0.2% decline in 2009. “The expansion expected for next year will be fueled mainly by domestic consumption,” Padovani said.

November and December employment figures will likely be lifted significantly by the festive season, said Azevedo.

Last December the unemployment rate was just 6.8%.

But this year, significant tax breaks on consumer durables along with easier credit facilities and conditions should create even more work, especially in retail.

More employment opportunities are expected to be created in Rio with the upcoming influx of tourism expected to occur in the next few years due to the FIFA World Cup and the 2014 Olympics. Plans to improve upon existing venues and infrastructure as well as new constructions for these events will have a large effect on the economy.

The recent success of Brazilian oil and gas company OGX Petroleo e Gas Participacoes SA is also set to bring many more employment opportunities to the city.

Those looking to relocate to Rio to take advantage of these opportunities, or to book accommodations for any of the upcoming international events the city is set to host, contact Rent in Rio today.

Olympics and FIFA World Cup Breathe New Life into Rio’s Downtown Airport

October 9, 2009

Rio AirportThe decision of the IOC to host the 2016 Olympics in Rio de Janeiro has reinvigorated Rio’s status as the global face of Brazil. The city is neither the country’s capital (that would be Brasilia) nor its busiest airport (that would be Sao Paulo). Since 2003, traffic at Rio’s two airports, Galeao and Dantos Dumont, has grown from 10 million passengers to over 14 million. Until last year the downtown Santos Dumont airport was restricted to serving primarily just one route, Sao Paulo Congonhas. When permission was given for other ‘regional’ destinations to be served from downtown last year, airlines Azul and Webjet became present at the airport and passenger numbers rose over 30 percent.

Last year Galeao handled 2.2 million international passengers while Sao Paulo’s Guarulhos handled four times as many. According to OAG data for September Galeao has direct non-stop flights to just 14 international destinations, including five in Europe and four in North America. Now British Airways service to Galeao is non-stop (it used to stop in Sao Paulo until a year ago). TAM’s JFK service began last November while Continental’s Houston service began this August (having also previously stopped in Sao Paulo). In early December US Airways will begin daily non-stop flights from its Charlotte hub using a 767. A total of just 18 airlines currently serve Galeao, with US Airways making it 19 later this year.

With the incoming traffic expected to occur due to the FIFA World Cup in 2014 and the Olympics in 2016, it seems that Rio’s Galeao will finally live up to its potential to increase both domestic and international travel.