Brazil’s economic difficulties open opportunities for Chinese companies to invest in the South American nation, said Bank of China’s Brazil subsidiary.

Zhang Guanghua, Vice President of the bank’s Brazilian subsidiary, told newspaper China Daily that the economic downturn had caused the Brazilian Government to consider opening up more investment opportunities in infrastructure projects such as railway, road and port projects.

It was expected that in the next two years the inward investment policy for Brazil would be more transparent and open, presenting “opportunities” for the Chinese firms, he added.

He also advised Chinese firms to study the legal and tax conditions of Brazil, avoiding shortcuts that could risk huge financial loss.

International rating agency S&P lowered the credit rating of Brazil to junk grade earlier this month. New official data show the Brazilian economy could contract 2.1 percent this year while inflation is likely to hit 9.25 percent, China Daily reported.