Minas Gerais Approves Privatization Bill; Formula 1 Generates Over R$2 Billion for São Paulo
Key Takeaways
- Minas Gerais approved a bill removing referendum requirement for privatizing state-owned companies.
- Formula 1 generates over R$2 billion for São Paulo's economy, supporting 20,000+ jobs.
- Petrobras and Senai invest R$380M in oil and gas technology centers in Santa Catarina.
- Usiminas reports R$3.5B Q3 loss due to asset impairment and deferred tax assessments.
- Opportunity sees room for Brazil rate cuts despite global trends.
Top Stories
Minas Gerais approves bill for state-owned firms' privatization.
On October 24, 2025, the Minas Gerais Legislative Assembly approved a bill to remove the requirement for a public referendum to privatize state-owned companies like Cemig, Copasa, and Gasmig. This is part of a plan to reduce a R$ 165 billion debt.
Formula 1 generates over R$2 billion for São Paulo's economy.
On October 26, 2025, SPTuris President Gustavo Pires revealed that Formula 1 generates an economic impact exceeding R$2 billion in São Paulo. The event is the largest tourist draw in the country, benefiting various sectors and generating over 20,000 jobs.
Petrobras, Senai invest R$380M in oil and gas tech centers.
On October 25, 2025, Petrobras and Senai announced a R$380 million partnership to establish three technology centers for oil and gas in Joinville, Santa Catarina. The main center, Cetemo, will cost R$280 million and aim to boost innovation and competitiveness in the national industry.
Usiminas reports R$3.5B Q3 loss despite improved cash flow.
On October 24, 2025, Usiminas (USIM5) reported a net loss of R$3.5 billion in the third quarter of 2025, reversing a profit from the previous year. This was due to asset impairment losses and deferred tax assessments, though adjusted Ebitda increased by 2% to R$434 million.
Opportunity sees room for Brazil rate cuts despite global trends.
On October 24, 2025, Frederico Catalan of Opportunity stated that some emerging markets, including Brazil, may still have room to reduce interest rates. Opportunity maintains positions that benefit from falling rates in these countries.
Economic Growth Pulse
Casas Bahia CEO optimistic despite customer credit rating decline.
On October 24, 2025, Casas Bahia CEO Renato Franklin expressed optimism for growth in gross margin and expense reduction. He noted a worsening in customer credit ratings due to high interest rates, leading to snowballing debt.
Investment Flows
Leilão VIP offers properties, vehicles up to 40% off starting Oct 27.
Starting October 27, 2025, Leilão VIP, in partnership with TJSP and Bradesco, is offering 173 assets, including properties and vehicles, with discounts up to 40% across Brazil.
Anbima pilots DLT network for tokenized assets in Brazil.
On October 24, 2025, Anbima launched its pilot project for a distributed ledger technology (DLT) network in Brazil. This aims to test the offering of tokenized assets and innovate the financial and capital markets.
Santos sees surge in luxury real estate market, values up 13.5%.
On October 25, 2025, Santos recorded an increase in the super-luxury real estate market, with properties exceeding R$10 million. The appreciation was driven by Neymar Jr.'s acquisition of mansions, and the city leads the state in real estate appreciation with a 13.5% increase in price per square meter.
Market Movers
BBAS3.SA stock down 0.63% on October 25, 2025.
On October 25, 2025, the BBAS3.SA (BRASIL ON) stock depreciated by 0.63%, closing at R$20.52. It remained among the most traded stocks on the Stock Exchange.
Policy Briefing
Two arrested in Maranhão for alleged R$700,000 money laundering.
On October 24, 2025, Federal Police arrested two individuals in Zé Doca, Maranhão, for allegedly laundering R$700,000. They are suspected of having million-dollar contracts with city halls involving federal funds.
Federal prosecutors challenge Amazon oil exploration, demand environmental studies.
On October 24, 2025, the Federal Prosecutor's Office challenged the oil block auction in the Amazon basin. They are demanding environmental studies and consultation with indigenous communities before exploration proceeds.
Lula angered by Caixa's sports betting platform launch.
On October 25, 2025, President Lula expressed irritation with Caixa Econômica Federal's announcement of its sports betting platform, "bet da Caixa". Lula summoned the bank's president for explanations, as he views the initiative as contradictory to the government's stance on sports betting.
Brazil's aid payments to reach R$1.56 trillion since 2020.
By the end of 2025, the Brazilian federal government will have paid R$1.56 trillion in aid since 2020, with the Bolsa Família program costing approximately R$160 billion annually and serving 18.9 million families in October 2025.
Brazil's 2026 PIS/Pasep payment schedule pending, expected late November.
The Brazilian government has not yet released the official payment schedule for the 2026 PIS/Pasep salary bonus, which is expected to be announced by the end of November 2025. Eligibility requires earning up to two minimum monthly salaries and having worked at least thirty days in 2024.
ANP partially lifts interdiction of Manguinhos Refinery in Rio.
On October 25, 2025, the National Petroleum Agency (ANP) partially lifted the interdiction of the Manguinhos Refinery (Refit) in Rio de Janeiro. The areas for handling, storage, and shipping have been cleared, but the distillation tower remains closed.
Brazil Congress to discuss Itaipu energy tariff, socio-environmental costs.
On October 28, 2025, the Chamber of Deputies' Financial Supervision and Control Commission will hold a public hearing to discuss the formation of Itaipu Binacional's energy tariff. The emphasis will be on the socio-environmental costs affecting the price.
Federal Police destroy 49 illegal gold mining dredges in Rondônia.
On October 24, 2025, the Federal Police and IBAMA carried out Operation Hefesto II in the Madeira River, Rondônia, destroying 49 dredges and barges used in illegal gold mining. The operation aimed to combat environmental crimes and identify financiers of the illicit activity.
Brazilians seek smuggled tirzepatide due to high domestic prices.
On October 24, 2025, Brazilians are actively seeking tirzepatide pens (Mounjaro's active ingredient) smuggled from Paraguay due to high prices in Brazil. Experts and Anvisa warn of health risks.
Former Emdur president arrested for R$27M corruption scheme.
On October 24, 2025, the Federal Police in Porto Velho arrested Mário Sérgio Leiras Teixeira, former president of Emdur. This was due to a final conviction for involvement in a corruption scheme that diverted approximately R$27 million from the public coffers of the Municipality of Porto Velho.
Four arrested for illegal sale of seized vehicles in Sorriso.
On October 25, 2025, the Civil Police launched an operation in Sorriso, resulting in the arrest of four people involved in the illegal sale of seized vehicles. The gang stole and resold approximately 69 vehicles with falsified documents since February of the previous year, causing a loss of R$1.5 million to the government.
Trade Winds
Trump acknowledges failed Bolsonaro interference, eyes Lula rapprochement.
On October 25, 2025, Thomas Shannon stated that Donald Trump acknowledged his failed attempt to interfere in Jair Bolsonaro's trial. This shift led to a renewed relationship with President Lula, influenced by pressure from the US private sector against 50% tariffs on Brazilian products.
Lula meets Malaysian PM to boost trade, political ties.
On October 26, 2025, President Lula met with Malaysian Prime Minister Anwar Ibrahim in Bangkok to boost trade and political relations. Bilateral trade reached $4.46 billion in 2024.
Lula, Singapore PM discuss economic ties, green economy at ASEAN.
On October 26, 2025, President Lula spoke with Singapore's Prime Minister Lawrence Wong during the 47th ASEAN Summit in Malaysia. They discussed strengthening economic ties, cooperation in innovation, the green economy, and mining.