Good morning! This week, we talk about Lula’s alleged plan for the BRICS bank. How the Brazilian divide is becoming entrenched. And fears of soaring corporate debt.
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A new Brazilian BRICS banker?
Former President Dilma Rousseff’s name has been increasingly floated in the Brazilian press as a possible replacement for Marcos Troyjo as head of the New Development Bank (NDB), more commonly known as the BRICS bank.
Why it matters. Replacing Mr. Troyjo with Ms. Rousseff or someone else is part of a larger strategy by the Luiz Inácio Lula da Silva administration to inject more money into infrastructure projects and credit expansion.
Cutting short. BRICS countries appointed Mr. Troyjo to head the Shanghai-based bank for five years, and his term does not expire until 2025. To make way for Ms. Rousseff, his term would have to be cut short.
No comment. In official channels, the government has not admitted any plans to replace Mr. Troyjo or nominate Ms. Rousseff for any position. However, the idea has been widely circulating in...