Power

Brazilians set for a nasty shock as economic crisis deepens

The coronavirus emergency aid program has masked much of Brazil's severe economic crisis, many of which will come in 2022

crisis brazil covid
Family in poor housing settlement in Planaltina, a city in the outskirts of Brasília. Photo: Marcos Casiano/Shutterstock

The Brazilian population has yet to realize the severity of the crisis set to hit the country in the next two years. The government’s emergency aid program helped to cushion the initial blow of the recession caused by the coronavirus pandemic, but the true colors of Brazil’s fiscal problem have yet to become clear to the average citizen. This is the view of political scientist Daniela Campello, a researcher and professor at think-tank Fundação Getúlio Vargas in Rio de Janeiro.

“The government’s [emergency aid program] forged a security blanket that sustained a lot until now”, argues Ms. Campello. But in...

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