The Phoenix Rises

Brazil has achieved what economists are calling a 'new economic miracle' with 5.8% GDP growth in 2025 — the fastest among major economies and a dramatic turnaround from the stagnation of the past decade. President Lula's combination of social spending, infrastructure investment, and commodity export boom has created a virtuous cycle of growth. Soy, iron ore, and oil exports have surged while inflation has fallen to 3.2% — the lowest in 20 years.

The real has strengthened 18% against the dollar this year, attracting foreign investment and reducing import costs. The country's agricultural sector has benefited from record harvests while oil production from pre-salt fields continues to grow. Lula's policies have also boosted domestic consumption, with retail sales up 12% and consumer confidence at decade highs.

The Commodity Super Cycle Returns

Brazil's position as the world's largest exporter of soy, iron ore, and coffee has perfectly positioned it for the global commodity super cycle. Chinese demand recovery and infrastructure spending worldwide have driven prices to levels not seen since 2011. The country's energy transition has also been successful, with ethanol production reaching record levels and renewable energy now accounting for 50% of the energy matrix. The combination of commodity wealth and social programs has reduced poverty by 40% since Lula's return to power.