2023-10-19 19:05:36
The improvement in the scenario and prospects for the Brazilian economy are contributing to the increase in the credit ratings of companies in the country. This because, among the factors that are usually used in classifying by specialized agencies, in addition to criteria related to strategy and management, are the basic interest rate, political stability and GDP per capita.
In June, the S&P Global Ratings, for example, changed the outlook on Brazil’s credit rating, from stable to positive, for the first time since 2019. Today, the country’s investment grade, in the agency’s assessment, is BB- (speculative). In July, another of the world’s main agencies, the Fitch went further and raised Brazil’s credit rating from BB- to BB, citing macroeconomic and fiscal advances above market expectations. It was Fitch’s first adjustment to the country’s rating in five years.
Now, the movement is also having a direct impact on Brazilian companies. Since the classification of Brazilian sovereign debt, Fitch began a process of “recalibragem” of credit notes in the country and adjusted the rating of least twelve Brazilian financial institutionsincluding Banco do Brasil, Caixa Econômica Federal, Itaú Unibanco and Banco Bradesco. Other companies that had a high ranking they were Petrobras, Sabesp, Rumo, MRS Logística, Comgás and Ache.
This was also what happened, in mid-October, with Banco Master. The institution, which this year joined the select group of banks classified at level S3 by the Central Bank, had a credit rating upgraded from B and BBB-(bra), to B+ and BBB(bra)respectively, on the global and local scales, after record profit of R$291 millionin the first half of 2023.
According to the agency, in the reevaluation of the bank’s rating, in addition to the stabilization of the financial profile, good liquidity levels, asset quality and profitability, when compared to peers, the “operational environment and recovery sustained growth of the Brazilian economy, translating into the resilient performance of the banking sector”.
According to Daniel Vorcaro, president of Master, the agency’s decision is positive not only for the bank, but also for its customers and the financial sector, as it tends to make access to credit cheaper. “The cost of capital is today one of the major obstacles to greater growth for companies and has an impact on inflation and all the policies implemented by the Central Bank recently”, says the banker.
With recent news that The IMF estimates that Brazil will become the ninth largest economy in the world As early as 2023, Vorcaro states that the country has everything it needs to enter a new virtuous cycle of expansion. “It is time to explore our vocation and our potential to be one of the leading countries in the process of decarbonizing the economy in the world,” he says.
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