Construction confidence in Brazil reaches highest level in eight years

The Construction Confidence Index (ICC), as measured by the Getulio Vargas Foundation (FGV), increased by 1.4 points from November to December this year, and reached 96.7 on a scale from zero to 200 points. This is the indicator’s highest level since January 2014’s 97.8 score.

The rise in confidence among Brazilian construction investors was driven mainly by the Expectations Index, which gauges perceptions about the future and rose by 2.1 points to 100.8—its highest since August this year.

The Current Situation Index, which measures business confidence in the present, also saw an increase: 0.8 points. As a result, the sub-index climbed to 92.8, the highest level since August 2014.

The Capacity Utilization Level (NUCI) for construction was down 0.9 percentage points to 76.4 percent. In December this year, the cost of raw material was biggest limiting factor for companies, investors argued.