The Quality of Investments

In January, President Lula announced a Growth Acceleration Plan (PAC, for its acronym in Portuguese) for the four year period 2007-2010. The PAC is a group of measures intended to increase infrastructure investments, and through these investments, foster growth. Of the roughly BRL 500 billion announced, more than half are in energy (thermo and hydro […]

Fair Play

Brazil has been known around the world for its carnival. In particular, Rio de Janeiro’s annual parade of “samba schools” competing for the title of carnival’s champion is an impressive display of cooperation and competition, built from the bottom-up through many years, to generate a large scale production with outstanding results. About a week ago, […]

Government Procurement and Competition in Brazil

A couple of weeks ago, Brazil’s Federal Police arrested 46 people in 10 states in an operation that accused a construction company and public employees of corrupting procurement transactions for infrastructure projects. Under suspicion of being involved, the Minister of Mines and Energy resigned last week and just yesterday the supreme court ordered the deputy […]

Keeping Track of Informality

The Brazilian government is expected to propose two different measures in the coming weeks that are symptomatic of the difficulties in doing business in Brazil. The first is legislation to be submitted to congress this week to substitute a previous presidential veto to the so called “Amendment 3”: legislation that would have restricted the authority […]