Brazil is emerging as a leader in innovation within Latin America and the Caribbean.
This progress is evident as Brazil moves up in the Global Innovation Index (GII) for the third consecutive year.
The GII is a respected international ranking assessing countries’ innovation ecosystems.
Brazil achieved significant progress in its 2023 edition, released by the World Intellectual Property Organization (WIPO).
It moved up five places, ranking among the world’s top 50 most innovative economies.
Sacha Wunsch-Vincent, co-editor of the GII, highlights Brazil’s innovation performance. He notes it consistently exceeds its level of development.
This success results from sustained efforts to transform innovation resources into tangible outcomes.
These include high-tech manufacturing, software production, and creating unicorns.
Brazil’s high scores in online government services (14th) and electronic participation (11th) are noteworthy.
The country also excels in intangible assets (31st), with strong performance in registered trademarks (13th) and global brand value (39th).
Wunsch-Vincent emphasizes Brazil’s favorable environment for entrepreneurship and multinational companies.
He notes the capacity to generate intangible assets like intellectual property and software. These are crucial for national growth driven by innovation.
Lívia Carbonell, from ApexBrasil, observes Brazil’s evolving innovation ecosystem.
It includes advanced innovation centers, mature startup programs, and innovative business models. These developments create more opportunities and competitiveness.
GII Results
Brazil’s GII results reflect the crucial role of technology in the country’s recent advancements. It impacts various sectors, including finance, healthcare, and agriculture.
Eduardo Fuentes, of Distrito, sees Brazil’s innovation ecosystem as robust. Entrepreneurs are well-equipped, and investor interest is growing.
Open innovation is recognized as a path to business improvement.
This maturity explains Brazil’s lead in the number of startups in Latin America.
Brazil has over 13,000 startups, representing 62.9% of the continent’s total, according to Distrito’s Panorama Tech América Latina 2023 study.
Brazil also leads in the number of unicorns in Latin America. It has 24 startups valued at over 1 billion dollars, more than half of the region’s total.
The two countries next in ranking, Argentina and Mexico, each have only seven unicorns.
Brazil’s financial market is a strong innovation sector. It hosts numerous startups and attracts significant investment.
Fuentes points out recent advances, particularly due to the Central Bank’s pro-innovation agenda. This has resulted in the financial inclusion of 75 million Brazilians.
The healthcare sector offers growth opportunities, especially after the pandemic.
Remote care and the use of artificial intelligence for diagnostics have benefited from regulatory and conceptual advancements.
Pharma Sector
However, the pharmaceutical sector has the potential for further development. Norberto Prestes of Abiquifi aims to increase the number of deep tech startups.
The Abiquifi Radical Innovation Program is a key initiative in this direction. Brazil’s dynamic market also attracts foreign startups.
With a large population and the largest GDP in Latin America, Brazil offers a vast market. Its high internet penetration rate facilitates the development of tech solutions.
Foreign startups, like Rappi and DockTech, see Brazil as an attractive expansion opportunity.
Rappi, a Colombian delivery startup, has found Brazil’s market crucial for its growth.
DockTech, using artificial intelligence, entered the Brazilian market with the support of the ScaleUp in Brazil program.
These examples show Brazil’s role as a startup incubator and a welcoming market for international ventures.