ABSTRACT
This chapter analyses the relationship between financialisation and investment in Brazil since the implementation of the Real Plan, i.e. in the 1995–2017 period, a period marked by strong macroeconomic instability. It presents a brief review of the literature on the relationship between financialisation and investment. Brazil’s monetary regime is characterised by some authors as a regime of “financialisation led by interest rate gains” because of the existence of an overnight circuit in Brazil combined with high real interest rates. T. Van Treek denotes financialisation as the growth of shareholder value, focusing on microeconomic aspects and their implications in the process of capital accumulation and economic growth. In the beginning of 2003, the economy was favoured the benign international environment that resulted in a high economic growth free of external constraint. The growth rate of the stock of fixed capital shrank and remained on average at low levels, especially when compared to the 1970s, a decade marked by high economic growth.
