In this week’s issue: The most important facts of the week. Brazil’s economy recovering steadily (but slowly). From Haiti to Bolsonaro’s cabinet.
The week in review
- Fraud. As we reported on Oct.10, future economic tsar Paulo Guedes is suspected of having benefited from fraudulent operations in pension funds controlled by executives connected to the Workers’ Party and President Michel Temer’s party, the Brazilian Democratic Movement. The Federal Police has now formally placed him under investigation.
- G20. During the G20 Summit in Buenos Aires, French President Emmanuel Macron conditioned the EU-Mercosur deal to Brazil’s acceptance of the Paris Accords on climate change. President-elect Jair Bolsonaro, who didn’t attend the summit, lashed back, saying Mr. Macron is using an excuse not to sign a deal that will bring competition to French agro producers.
- Reforms. Members of the government’s future economic team are starting to realize that, in order to pass deep reforms, it takes more than will and ideas. And they have started to make compromises. Future Tax and Pensions Secretary Marcos Cintra says he’s willing to give up on the idea of a single tax on goods (which displeases governors who raise money through a multitude of tariffs) in order to pass a much-needed pension reform.