Good morning! Today, the continuing Petrobras debacle. Jair Bolsonaro’s attempt to hold inflation down. And the battle over an island paradise.
Bolsonaro 0-for-2 in Petrobras leadership nominations
Over the weekend, football executive Rodolfo Landim turned down the government’s offer to become the new chairman of the Petrobras board. Then, on Monday, Adriano Pires – whom President Jair Bolsonaro wanted to make the company’s new CEO – also retracted his name from the hat.
What’s happening? Mr. Pires has worked as a consultant for oil and energy companies for decades and has established business relationships with Petrobras partners and clients. Prosecutors within the Federal Accounts Court (which monitors public spending at the federal level) had challenged his nomination.
- Mr. Pires manages his consultancy together with his son. Unless they were to sell or shut down the firm, a conflict of interest would be triggered, per a 2016 law. Petrobras’ Personnel Committee had already prepared statements contrary to Mr. Pires’ nomination.
- “It became clear for me that I couldn’t reconcile my work as a consultant with the role of Petrobras CEO,” Mr. Pires said in a statement.
Context. The change in leadership is driven by Mr. Bolsonaro’s desire to pressure Petrobras into no...