European investors are not satisfied with the policy of the Brazilian government headed by President Jairam of Bolsonaro in the field of preservation of the environment. Primarily in the field of control over illegal deforestation in the Amazon and other regions of the country, under the current government record values.

Investors from Nordea Norwegian and British LGIM, and five other companies (Storebrand, AP7, KLP, DNB Asset Management, Robeco, according to Reuters), threatening to stop investing money in key sectors of the Brazilian economy. In particular, manufacturers of meat (beef, pork and poultry), as well as in the agricultural sector – the cultivation of soybean. All these areas are critical for foreign trade of Brazil. In addition, the Europeans are going to recommend to stop investing in Brazilian government securities, including debt.

Such pressure should seriously be alerted to the Brazilian management and business. Because only these seven companies according to various estimates, currently operates assets in Brazil amounting to more than $ 2 trillion.

the Skeptics among Brazilian government did not initially perceive these threats seriously was at the end of last year, the confirmation of the seriousness of the claims of investors from the EU. In 2019 after a very unconvincing actions of local authorities in the suppression of fires in the Amazon region, the Norwegian Bank Nordeа said about freezing the purchase of government securities debt of Brazil for more than 100 million euros.

the Failure of the government of Bolsonaro to stop illegal logging threatens not only the loss of European investors, but problems with the Latin American bloc partners of MERCOSUR. The fact that in early June, the Dutch Parliament most opposed signed last year the agreement on free trade between the EU and MERCOSUR. Under the pretext that it will lead to further cutting down Brazilian forests. Previously, the Austrian Parliament adopted a similar position. Now the fate of this Treaty is even more vague because it is unclear in terms of what it can be ratified by the European Parliament.

the Allegations by eurocapital to the authorities in Brazil seem well-founded. The rapid growth of illegal felling of forest area is confirmed not only by experts from the EU, but the Brazilian experts.

Local NGOs MapBioMas involved in the analysis of satellite images of the forests of Brazil on the subject of deforestation, was released in may a new report on the situation of forests in the country in 2019. This massive deforestation, according to Globo, the country was observed last 11 years and only the region of the Amazon in the day lost more than 2.1 thousand hectares of forest. That is, every day cut down an area of almost 2 thousand football pOlga. While only 0.5% of these plots were legitimate.