Edenilso Rossi Arnaldi on Trends in Brazil’s Public Construction Sector
Edenilso Rossi Arnaldi is the founder and CEO of Sial Engenharia. The company is one of the biggest civil construction companies in Brazil. Arnaldi plays an active role in the daily running of the company and over the years has developed great insight into the construction industry in Brazil. Using this knowledge, he has not only helped Sial grow into the well-known company that it is today, but he has also greatly benefitted Brazil by playing a key role in major development projects. Arnaldi has 30 years of experience in the field. During this time, he has exhibited exceptional leadership skills, a commitment towards the betterment of his community and thorough support for his team members.
Over the years, Arnaldi’s opinion is now respected in Brazil. This is attributable to two crucial reasons. First, he has been at the forefront of many of Brazil’s biggest public infrastructure projects. Second, he has won the support and admiration of people which is evident from his terms in various public offices. Arnaldi became the President of the Union of the Construction Industry in West of Parana in 2000. Then, in 2002, he served as State Chamber of Civil Construction’s President. Working in these capacities, Arnaldi has advocated for the construction industry in Brazil on all major platforms. In 2018, he also served as the Federal Deputy of the State of Parana.
Public Infrastructure Industry in Brazil
Back in 2019, the infrastructure industry contributed to an overall 2% increase in the GDP of Brazil. According to Arnaldi, this increase was a strong indicator of job creation, thriving suburban areas, and overall wealth generation. 2019 proved to be an amazing year for the construction industry in Brazil, which ended up generating 150,000 to 200,000 jobs for Brazilians. When the pandemic hit, the continued progress that Brazil enjoyed came to a sudden halt. For Arnaldi and his company, this was a period of great uncertainty. Sial Engenharia’s employees and stakeholders’ health was at risk and projects came to a halt. The economy stagnated as the only focus during this time became life-saving efforts and essential projects.
According to Arnaldi, though the country’s infrastructure industry took an initial hit, it has not entirely been eliminated. Recovery from the impacts of the pandemic is certainly possible. The industry has managed to retain its flow and it will be able to resume work in safe working conditions. These delays, according to Arnaldi, will go away as time passes. Moreover, the country is still faring better, at least in a historical context, because the statistical performance of the industry is still better than when Arnaldi had first entered the business. Indeed, his predictions about this are coming true.
As of late, the infrastructure industry has started to recover in Brazil. This improvement is largely attributable to the favourable policies that have been implemented by the Brazilian government. In 2020, 44 infrastructure projects were offered by the government. Brazil is the largest country in Latin America, and as such, it has a lot of potential for economic growth. The transformation in the public infrastructure industry is attributable largely to the growing interest of the private sector in the industry. The surge in interest, on the other hand, is owed to low-interest rates, which has made it easy for the private sector to raise capital for various public infrastructure projects. Coupled with favourable government policies, which include a reduced influence of the public sector and increasing concessions and privatizations, means that the infrastructure industry is set for a continuous rise.
The Outlook in the Coming Years
At the start of 2021, Brazil became an increasingly popular destination for private investors in the infrastructure industry. There were two reasons for the spike in interest. First, there has been a surge in support for developing countries. Second, emerging markets are becoming a popular destination because of the high competition for assets in other OECD countries.
Brazil’s economy had suffered a lot historically, majorly by corruption, and then by the pandemic. The economy is now on the road to recovery. The government has implemented comprehensive reform, which has served to abate the growing concerns of private investors. It is predicted that the construction output in Brazil will grow by 3.6% in 2022.
2021 proved to be a great year for Brazil as several construction companies were awarded contracts totalling nearly US$10 billion. Despite the government working hard to attract foreign investment, there is nothing to fear for local construction companies, who are still enjoying the bulk of work from the government. Of the 22 airport construction projects that were awarded, only seven went to one French construction company, while the rest were secured by local companies.
In the statistics that were released by the Brazilian Institute of Geography and Statistics (IBGE), the performance of the industry in the first quarter of 2021 was much better than had been previously anticipated. A 2.1% increase was recorded in 2021’s first quarter, a huge increase from the -0.2% in 2020’s first quarter. Something that Arnaldi had been saying for quite a while now. His thirty years of experience has provided him with an insight that most statistics are not able to predict. It seems that he has an intuitive understanding of the construction industry in Brazil, which allows him to predict situations that would not be evident from statistics alone. As he had rightly analysed back in 2020, the growth statistics for the construction industry in Brazil are back to pre-pandemic levels. These positive trends are set to carry on positively all the way through to the second quarter of 2022.
Edenilso Rossi Arnaldi and the Construction Industry
Edenilso Rossi Arnaldi has a vested interest in the construction industry. This is not only because he is a key player in the industry, but also because a lot of his workforce depends on the industry and him for their livelihood. Arnaldi has worked tirelessly to generate employment and provide work to the people of the local communities he works in. Underserved rural areas have been the focus of his work. By pursuing development projects in such areas, he not only advances their infrastructure but also provides jobs for thousands of locals. Arnaldi has continuously argued in favour of the industry and advocated for it in all decision-making circles. When tensions were high about the future of the industry and the jobs of the people associated with it, he remained a voice of calm. Time has proven that his words were not just to soothe uncertainty, but were grounded in a factual and deep understanding of the industry, gathered over 30 years.