Mato Grosso is confirmed as a safe haven for large investments
Written by advising Sefaz
Wed, June 5, 2013
The State of Mato Grosso maintained its rating (rating) positive for attraction of investments according by Standard & Poor's. In the assessment by the agency, issued on Monday (6-3), the balanced state finances should continue in the coming years. For analysts, the percentage of impairment of current revenues with the cost of public debt must remain in a range below 10%, and investment in infrastructure that is being done, added to new projects already planned to circumvent the problem of logistics faced by the agro-industrial production.
"This new report brings some of the actions that we developed in our management against the State Government, showing investors the world we are working hard to solve our problem of logistics, we have a good business environment. We have been approached by international companies who want to invest in Brazil. They seek information on all states, and the positive rating agency Standard & Poor's is important in the final choice of where these companies will install. Mato Grosso has done its utmost to ensure greater diversification of our economic matrix, "said the governor Silval Barbosa
The report points out that the state scenery is very favorable, in view of the prospect of the approaching World Cup Soccer and the consequent acceleration of works in progress.
For Finance Secretary of Mato Grosso, Marcel Souza de Cursi, maintaining fiscal balance and economic state is central to this positive rating."Analysts at Standard & Poor's noted that the state treasury has developed strong actions to reduce spending costing action that allows greater public investments in social areas such as security and education.In the sphere of public revenue, the text pointed modernizations applied primarily on the agricultural sector, which resulted in increased revenue, solidifying its own revenues, "he pointed out.
Another point of analysis on international finance Mato Grosso reinforced the importance of the process of renegotiating the debt with the Union. "The text shows the operation performed by the Bank of America, which, coupled with planned actions for payment, we left a commitment of approximately 17% of our revenue to service debt in 2012 to the current 10%. The agency detailed the process and even cites that trading was allowed both the Executive and Legislative national materialize, becoming a reference for refinancing debt through the capital markets, "said the economist and deputy secretary Executive Core Fazendário, Vivaldo Lopes.
According to him, is the addition of a modern and balanced fiscal policy, with the reduction of public debt in state finances, which should ensure the release of funds for further investment in infrastructure in the state.
Mato Grosso is the first state in the Midwest to have the recognition of an international rating agency risk, actually two. "Beyond the Standard & Poor's, which rated us BBB-, Moody's assigned a Baa3 Mato Grosso index, considered extremely positive by the market. In Brazil, only the states of São Paulo and Rio de Janeiro have this kind of international certification. In terms of municipalities, it was only obtained by São Paulo and Belo Horizonte, "detailed Vivaldo.
Risk Rating (rating) is the opinion of a specialist agency risk classification on the ability of a country, state or company to pay off its financial commitments. Scores to indicate a higher or lower risk of the occurrence of a "default", that is, suspension of payment.
Therefore, the experts of these agencies assess the financial situation, the conditions of the world market and expert opinion of private, official and academic sources. Mato Grosso was considered by Standard & Poor's "good paying", him giving investment grade. It is a seal of quality that indicates a very low risk of default. Once received the degree of investment the state can continue climbing classification. It is usually updated annually.