Brazil: Carnaval moves US$760 million in Rio de Janeiro’s economy

RIO DE JANEIRO, BRAZIL – A study released today (18) by the city of Rio de Janeiro shows that Carnaval brings R$4 billion (US$760) to the economy of the city of Rio de Janeiro.

This figure is included in the Carnaval Data report, presented at the Palácio da Cidade. During the event, Mayor Eduardo Paes said that most people consider Carnaval a party or a fun moment without thinking about what Carnaval means. ”

The report on Carnaval data, prepared in collaboration with the Municipal Secretariat of Economic Development, Innovation and Simplification, found that the R$4 billion that flowed into Rio’s economy during Carnaval 2020 was double that of 10 years earlier.

“The event highlights important issues such as income generation, jobs, and entrepreneurship,” commented João Goulart Foundation President Rafaela Bastos.

The study proves that service tax revenues (ISS) from tourism-related services are higher on the days of the festival than at any other time of the year, reaching R$25 million in February, while the monthly average is R$21 million.

The Secretary of Economic Development, Chicão Bulhões, pointed out that the figures confirm that Carnival is also economic development and significantly impacts the city’s economy.

“According to estimates from the National Confederation of Commerce (CNC), Rio was responsible for one-third of the financial turnover of Carnival-related tourism activities in the country in 2020,” the secretary said.

Chicão Bulhões recalled that the City Council had launched the Auxílio Ambulante Carnaval de Rua (Ambulatory Help for the Street Carnival) program, which provides R$500 to street vendors working in the Carnival.