A third of bars and restaurants in RS start the year at a loss, points out research
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A third of the bars and restaurants in Rio Grande do Sul suffered losses at the beginning of the year, rising from 23% to 35% since the last survey carried out by the Brazilian Association of Bars and Restaurants (Abrasel). The situation complicates as uncertainty grows regarding the future of the economic situation this year. “The big challenge for 2023 is to take care of the sector’s indebtedness and inflationary costs, which tend to increase”, contextualizes João Melo, president of Abrasel in Rio Grande do Sul.
The sector has 8 out of 10 companies with contracted bank loans, with default reaching 30% for those who used regular lines and 20% for those who joined the National Support Program for Micro and Small Businesses (Pronampe). On average, 10% of the billing of bars and restaurants is committed to paying the installments and, for almost a third, it is above this index, reaching even more than 20%.
