In 1915 the National City Bank of New York opened branches in Santos, Rio and S. Paulo; the United States Steel Corporation started a line of freight steamers, and was followed by a number of new lines.
The two great Light and Power companies of Rio and S. Paulo are Canadian, but some of the capital, equipment and personnel are from the U. S.; one of the two existing packing-houses is Chicagoan in capital, equipment and personnel. Several of the allied enterprises of the Brazil Railways Company are American managed and equipped, as the lumber mills at Tres Barras and the cattle company, as well as part of the transportation lines. The Brazil Railways is the largest American-registered company in Brazil, but is rather an example of how not to do things in South America, for although a few interests, as those cited above, are doing well, the company as a whole is in the hands of a receiver. The time is probably past when money could be obtained in Europe by persons registering a company in a second country to spend it in a third, and what is most needed now is continued and genuine development work actually financed from North America.
Most of the United States firms with agencies in Brazil are sellers, but among the purchasers are several coffee-importing houses and, with the eclipse of German traders, the greatest rubber dealers, while the past year has seen American agents coming to Brazil to increase takings of manganese, precious stones and hides.
The State Debts
The figures given below are in round numbers only, and are without the additions which the Funding loans entail; all sums are in pounds sterling:
| State | External Debt |
|---|---|
| Alagôas | £ 500,000 |
| Amazonas | 3,000,000 |
| Bahia | 3,875,000 |
| Ceará | 600,000 |
| Espirito Santo | 1,160,000 |
| Maranhão | 720,000 |
| Minas Geraes | 6,800,000 |
| Pará | 2,040,000 |
| Paraná | 2,200,000 |
| Pernambuco | 2,370,000 |
| Rio de Janeiro | 3,000,000 |
| Rio Grande do Norte | 350,000 |
| Santa Catharina | 220,000 |
| São Paulo | 20,350,000 |
The States of Goyaz, Matto Grosso, Parahyba, Piauhy, Rio Grande do Sul and Sergipe have no external debts.
The Funding Loan arranged by the State of Pará adds another £1,070,000 to her debt; the Funding Loan of Minas Geraes adds £600,000 and that of Amazonas, £850,000.
The external debts of Brazilian municipalities, also borrowers from Europe, are about as follows, round numbers again being used:
| Federal District of Rio de Janeiro | £4,395,000 |
| Manáos (Amazonas) | 214,000 |
| Belem do Pará | 750,000 |
| plus Funding Loan | 88,500 |
| Recife (Pernambuco) | 400,000 |
| Bahia | 2,000,000 |
| São Paulo | 750,000 |
| Santos | 1,000,000 |
| plus Funding Loan | 118,000 |
| Other municipalities in S. Paulo State | 685,000 |
| Porto Alegre (Rio Grande do Sul) | 600,000 |
| Pelotas (Rio Grande do Sul) | 600,000 |
| Bello Horizonte | 216,000 |