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Weekly Report - 09 May 2019 (WR-19-18)

BRAZIL: Managing economic expectations

The economic optimism with which Brazil’s President Jair Bolsonaro and Economy Minister Paulo Guedes were ushered in at the beginning of the year has been tempered by disappointing growth, persistently high unemployment, and political stasis. Although reforms are needed in many areas, the government continues to single out the pension reform as the solution to the country’s economic stagnation and fiscal woes [WR-19-09]. Without the pension reform, “Brazil will break,” Bolsonaro has said on more than one occasion.

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