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Carnaval is already a time of fun and celebration in Brazil, but Delta Air Lines Inc. is betting there’s nothing like a little currency arbitrage to make it that much more enjoyable.
In promoting this year as an opportune moment for travelers to reach Rio de Janeiro and São Paulo from Atlanta and New York,is emphasizing the real’s projected 14 percent against the U.S. dollar in 2025 from an already-low rate last year.
The drop makes Brazil proportionally cheaper for those converting U.S. currency when buying meals, hotels and tickets to Rio’s Carnaval parade, making “premium experiences more accessible,” the airline wrote in a news release.
In late November, the real hit a record low, crossing the threshold of six reais to the dollar, though it has come back down a bit in the new year and stood at 5.84 to one dollar on Feb. 1.
On the other end, the diminished purchasing power for Brazilians cuts both ways for Georgia. It makes the U.S. more expensive for travelers coming here for trade shows like the recently concluded International Production and Processing Expo, which features a large delegation centered around a Brazil pavilion.
Nearly 36,000 Brazilians visited Georgia in 2023 and spent some $81.8 million in the state, making Brazil the sixth largest inbound market by number of travelers and seventh by spending, according to Georgia Department of Economic Development figures.
It also means that Brazilian companies looking to invest in the United States may withhold spending until the real’s value ticks back up.