Brazil’s Industrial Business Confidence Index declined by 2.3 points in July 2026, falling to 44.4 and registering its second consecutive monthly drop, according to the National Confederation of Industry (CNI). This was the 19th straight reading below the 50-point neutrality line and the lowest level since June 2020, underscoring a broadening sense of pessimism among manufacturers.
The Current Conditions Index edged down 0.7 point to 41.6. Within this component, assessments of the Brazilian economy fell 1.3 points to 34.7, while evaluations of firms’ own conditions slipped 0.3 point to 45.1, signaling that businesses continued to perceive the present situation as worse than six months earlier.
The Expectations Index posted a sharper decline, dropping 3.1 points to 45.8, its largest fall since November 2022. Expectations for the Brazilian economy weakened by 3.8 points to 37.2, and firms’ outlook for their own performance retreated 2.7 points to 50.1, nearly erasing the optimism seen in prior months.
