The Summer Olympics in Rio de Janeiro won’t do much for the battered Brazilian economy, but a few select companies stand to reap significant benefits, Moody’s Investors Service wrote in a report published Monday.
The credit-rating company focused on the impact of Olympic tourism, specifically the 350,000 spectators the government expects to visit Rio during the Olympics in August and the Paralympics in September. It didn’t address the potential effects of the spread of the Zika virus, which has emerged as a wild card for economic forecasters. Some athletes have expressed concerns about traveling to the country, and at least one public health expert has called for the Games to be moved.
Without making a call about Zika, Moody’s analysts led by Barbara Mattos wrote that more retail activity and tourists spending with foreign currencies should benefit Cielo SA, Brazil’s largest card-payment processor. Localiza Rent a Car SA, the official car rental company of the Games, and Latam Airlines Group SA, official airline of International Olympic Committee members, also stand to gain.
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