Country Note Brazil 2026

This Country Note examines Brazil’s foreign investment regime, characterised by a formal openness to foreign capital and the absence of a unified screening mechanism. While Brazil does not maintain a cross-sectoral review framework, it applies a fragmented system of sector-specific laws, regulatory approvals, and complementary governance tools such as golden shares and state equity. Strategic sectors, including energy, telecommunications, media, defence, and rural land, are subject to various levels of legal restrictions or oversight, often justified on grounds of national security or public order. Recent geopolitical tensions, including U.S.-imposed tariffs and interest in Brazil’s critical minerals, may prompt domestic debate about enhancing protective instruments. Although political resistance to a centralised screening mechanism remains, Brazil may move toward reinforcing sectoral controls and adopting more strategic, hybrid approaches to investment governance. The report analyses the legal, administrative, and supervisory frameworks shaping foreign investment and highlights the emerging policy discussions on balancing openness with national interest.