Brazil’s Industrial Business Confidence Index rose by 1.9 points in August 2026, reaching 46.3 from 44.4 in July and interrupting a two-month sequence of declines. Despite this improvement, the index remained below the neutral 50-point mark, signaling a lack of confidence for the 20th consecutive month.
The Current Conditions Index increased by 1.1 points to 42.7, reflecting less intense and less widespread negative evaluations. This improvement was driven by better perceptions of Brazil’s current economic situation, which advanced 1.9 points to 36.6, and of companies’ own conditions, which edged up 0.6 point to 45.7.
The Expectations Index climbed 2.3 points to 48.1, partially reversing the 3.1-point drop seen in July. This result shows that, while expectations for the next six months remained negative, pessimism diminished. Expectations for the Brazilian economy rose 2.5 points to 39.7, and expectations regarding companies’ own business conditions increased 2.2 points to 52.3, indicating a return to optimism at the firm level.
