Brazil Industrial Sentiment Improves Slightly

Brazil’s Industrial Business Confidence Index fell 0.3 point to 48.2 in February 2026, remaining below the 50-point threshold. The Current Conditions Index declined to 43.8, down 0.2 point from January. Entrepreneurs’ assessment of the broader Brazilian economy became slightly less negative (+0.6 point to 38.6), while perceptions of their own companies worsened (-0.6 point to 46.4). The Expectations Index also eased to 50.4, down 0.3 point. Expectations for firms weakened (-0.5 point to 54.3), while outlooks for the Brazilian economy improved marginally (+0.2 point to 42.7), though they remained in negative territory.

Brazil’s Industrial Entrepreneur Confidence Index rose to 48.5 in January 2026 from 48.0 in December, the index remaining below the 50-point threshold for all of 2025 and signaling persistent pessimism among industrial firms. The Current Conditions Index increased to 44.0; assessments of companies’ conditions improved by 0.8 points to 47.0, while views on the Brazilian economy deteriorated by 1.1 points to 38.0. The Expectations Index advanced to 50.7, standing just above the neutrality line. Expectations for the economy worsened by 0.4 points to 42.5, while expectations for companies rose 1.2 points to 54.8.

Brazil’s Industrial Entrepreneur Confidence Index fell to 48.0 in December 2025 from 48.3 in November, ending a three-month streak of gains. The index remained below the 50-point threshold for all of 2025, signaling persistent pessimism among industrial firms. The Current Conditions Index slipped to 43.8: assessments of companies’ conditions fell 0.7 points to 46.2, while views on the Brazilian economy were broadly unchanged, edging up 0.1 point to 39.1. The Expectations Index eased to 50.0, halting four consecutive increases and landing exactly at the neutrality line. Expectations for the economy deteriorated by 0.4 points to 42.9, while expectations for companies dipped 0.3 points to 53.6.