Despite fiscal austerity, the administration has acknowledged the need to invest more in education and health to redress social inequity. Market opening and economic stabilization have significantly enhanced Brazil's growth prospects. Brazil's trade has almost doubled since 1990. The United States is the largest foreign investor in Brazil. Upcoming privatizations in the power and banking sectors will likely elicit strong interest from U.S. firms.
Brazil is endowed with vast agricultural resources.
There are basically two distinct agricultural areas. It produces most of Brazil's grains and oilseeds and export crops. Although producing mostly for self-sufficiency, the latter regions are increasingly important as exporters of forest products, cocoa, and tropical fruits. Central Brazil contains substantial areas of grassland with only scattered trees. The Brazilian grasslands are less fertile than those of North America and are generally more suited for grazing.