Brazilian economy report card: Simon Fasdal, Saxo Bank Head of Fixed Income. The world will be zooming in on Brazil with the World Cup starting this week

Brazilian economy report card: Simon Fasdal, Saxo Bank Head of Fixed Income. The world will be zooming in on Brazil with the World Cup starting this week. Saxo Bank Head of Fixed Income Simon Fasdal gives a scorecard on the health of the Brazilian economy. Brazil is often seen as a thriving emerging markets story, yet its approach to pensions and welfare is adopted from southern Europe, dangerously elevating public spending and wiping out long-term competitiveness. Dependency on commodity exports has become dangerous as Chinese demand diminishes, and excessively high inflation and a large drop in GDP growth (from 7.5 in 2010 to 1.5 per cent currently) add to Brazil's problems. However, Brazil cannot be ignored for its size, resilience and richness in natural resources. For more information and Simon Fasdale's starting line-up of corporate bonds: (VIEW LINK)