Brazil must hold to structural reforms while undergoing slow economic recovery

Brazil's economic recovery after the deep 2015-16 recession has been the slowest on record, with GDP per capita last year remaining more than 9% below its pre-crisis peak. The IMF's annual report on the country's economy, released two weeks ago, estimated current GDP to be nearly 4% below its potential level, which suggests insufficiency of aggregate demand. On the other hand, as the slow recovery reflects structural factors, it is necessary to avoid the use of measures to reinforce such demand that might run against the confrontation of such problems.

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Brazil’s ‘Tropical Trump’ Needs to Build the Wall — Around the Country’s Finances

  GLOBAL ATLANTA JANUARY 24, 2019 | TREVOR WILLIAMS (Photo) Otaviano Canuto dialogues with CNN Espanols Gabriela Frias during a World Affairs Council of Atlanta event Wednesday night. Brazil’s new president has…

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Read more about the article Is It Finally Getting Easier to Do Business in Brazil?
In the photo, consumer movement in Mercadao in Sao Paulo on 6 September 2018. The IPCA (National Broad Consumer Price Index) fell 0.09% in August, the IBGE said on on 6 September 2018. It was the lowest rate for the month since 1998, when the indicator showed a fall of 0.51%. Despite the deflation in August, the index advanced by 2.85%, above the 1.62% registered in the same period in 2017. For the 12-month period, the IPCA is up 4.19%. The food sector presents the second consecutive month of deflation. Of the items consumed by the family, the sharpest decline in August came from onions, with a drop of 22.9%, followed by English potatoes, down 11.89%. (Photo by Cris Faga/NurPhoto)

Is It Finally Getting Easier to Do Business in Brazil?

Recent reforms have helped improve Brazil's business environment. Further changes could do away with the "Brazil cost" once and for all.

Continue ReadingIs It Finally Getting Easier to Do Business in Brazil?