Brazil’s Recovery Hinges on Overcoming Difficulties beyond its Economy
Once again President Temer has good economic news to flaunt that could help him gather support for his government, yet corruption investigations continue to generate problems.
The much anticipated and feared list of politicians Brazil’s top prosecutor wants to formally investigate was finally delivered to the Supreme Court last week. Although its content is still sealed, many of the names have been leaked.
Among them, six current cabinet members, two former presidents, 10 governors, three runners-up in recent presidential elections, the heads of the Senate and the House, dozens of federal lawmakers – including some of the most powerful – plus more than 200 additional politicians.
Temer himself seems to have been spared, but his plan to pass pension reform by the end of April have been likely compromised. If he is able to approve it before mid-year, it would be a great accomplishment.
The opposition displayed some muscle on March 15, gathering impressive numbers of people in street demonstrations against pension reform. Former President Lula, despite being a defendant in five law suits thus far, is actively running across the country, clearly campaigning for the 2018 presidential election.
Despite political turmoil, markets are keeping quiet and confident. Economic indicators, including a surprising end in February of a 22-month streak of formal job losses and the successful auction of four airports, have cheered up the business community and most analysts.More Testimonials