Overview
Foreign Direct Investment (FDI) to Brazil totaled US$ 84.1 billion from January to November 2025, the highest level since 2014. According to the Presidency of Brazil’s Planalto Palace, this new record was made possible thanks to President Luiz Inácio Lula da Silva’s foreign policy “moving Brazil forward again,” referring to his international repositioning and diplomatic blitz over the past three years. These investment inflows into Brazil show that the country is regaining confidence from global investors such as multinational companies.
Brazil attracted US$ 9.8 billion in Foreign Direct Investment (FDI) in November 2025, an annual increase of 72%. Investments so far this year are 13.5% higher than the US$ 74 billion accumulated in the same period of 2024. Investment inflows into Brazil closed 2025 near record highs experienced during former President Dilma Rousseff’s years from 2011 to 2014, when Brazil averaged US$ 102.4 billion per year.
A Brazilian presidential official affirmed:
“The real challenge is no longer whether we have a foreign policy or not. Brazil’s foreign policy is rebuilding the country and repositioning it internationally to make our economy modern again.”
Investments by Moving Brazil Abroad
Palácio do Planalto stated that moving Brazil forward internationally is a crucial axis for the country’s economic recovery. Brazilian diplomacy has traveled to over 500 markets worldwide since 2023.
Highlights of moving Brazil forward internationally include:
- Expansion of economic partnership with Europe on clean commerce and Net Zero commitments.
- Outreach to China and India on agricultural commodities, minerals, and greenfield tech investments.
- Restored convergence agenda with the United States on climate, industrial policy, and infrastructure financing.
- Trade expansion with Latin America, Africa, and Asia, with Brasília becoming a champion of South-South collaboration.
Investments were the direct result of companies viewing Brazil as a safe destination in Latin America, reinforcing strong inflows across multiple sectors.
Key Sectors Attracting Investment
The sectors that saw the most investments were:
- Green Energy and Hydrogen (34%)
- Investment in solar and wind farms in Brazil’s northeast and central-west.
- Hydrogen hubs in Porto Seguro (Bahia), Pecém, and Suape ports.
- Partnerships with Europe and Asia to purchase Brazil’s clean fuels.
- Agribusiness and Infrastructure (28%).
- Processing plants for soy, corn, and meat.
- Railroad, port, and corridor investments to reduce logistics costs.
- Technology and AI / Data Centers (18%).
- Cloud companies establishing hyperscale operations in Brazil.
- Investments in fintech, e-commerce, and knowledge market platforms.
- Oil and Gas (12%).
- Offshore pre-salt oil extraction.
- Investments in refineries and oil-to-chemical plants.
Keeping the Real Strong
Analysts explained that foreign investment has helped keep the Brazilian real firm, as Brazil, like most of the world, faces high interest rates. Investment inflows into Brazil came at a key moment as dollars were being poured into the Brazilian economy.
Additional positive indicators include:
- Dollar reserves around US$ 355 billion.
- Positive evolution of payments.
- Less volatility of the real compared to other emerging countries.
A Banco Central do Brasil (BCB) official claimed:
“Foreign Direct Investment helped anchor expectations and kept the real stable during turbulent times for Brazil and the world.”
FDI Into Brazil vs. Neighboring Countries
Brazil was the largest receiver of foreign capital in Latin America during 2025. While Brazil reached new highs, Argentina continues to undergo economic uncertainty and political transition. Neighboring Chile has seen moderate growth and weaker capital inflows so far this year.
Some of Brazil’s advantages include:
- One of the largest consumer markets in the world, with over 210 million people.
- A broad industrial sector and abundance of natural resources.
- A robust agriculture sector.
- A rapidly developing renewable energy sector.
- A growing technology ecosystem.
FDI Inflows into Brazil by Sector and Policy Reforms
Brazil has reduced the tax burden on businesses by advancing tax reform in Congress and recently established public-private partnership programs to incentivize private capital to invest in infrastructure and logistics. Tax, PPP, sustainability, and governance reforms are helping move Brazil closer to developed-country capital market standards.
Additional incentives for investment were developed under Brazil’s industrial policy, including:
- Hydrogen policy
- Lux initiatives
- Ethanol vehicle production policy
- Semiconductors
- Biotechnology
- Solar energy
- White goods manufacturing
- Food industry
- Regional airline market
President Lula’s international agenda aims not only to increase investments into Brazil but also to diversify the economy away from commodities.
An investment analyst told Brazil Business:
“It is not common to see capital flows like this with higher global interest rates. Brazil is showing that if governments make serious policies and can show growth prospects, investors will come.”
