Pension system reform: a challenge for Brazil’s next president

President Michel Temer’s pension system reform is all but buried in 2017, and that realization came after an odd series of events. Late on Wednesday afternoon, the government’s leader in the Senate, Romero Jucá, declared that there was an agreement between the President and the heads of both congressional houses to vote the pension system reform only in February 2018.

Predictably, markets reacted in a negative way. São Paulo’s stock market crashed by 1.22 percent, in a day when the Ibovespa index oscillated almost 3 percent. Combined with the bad news (in...