Canning House | Latin American Weekly Report

08-01-2015: Latin American Weekly Report

LatinNews

08th Jan 2015

Tough start to second term for Brazil's Rousseff

While a presidential inauguration is perhaps not a time for self-criticism, Brazil’s President Dilma Rousseff’s speech on starting a second term in office was notable for its hubris. “We have already accomplished the impos- sible,” she said. “Only miracles are yet to come.” After 12 years of the left-wing Partido dos Trabalhadores(PT) in power it was unsurprising that the crowd that attended the event was much smaller than for previous inau- gurations. But the fact no opposition leader showed up is indicative of the poisonous political atmosphere at the start of Rousseff’s second term. Growth is weak, inflation high and the political implications of the massive corruption scandal at the state oil giant Petrobras have only just begun.

Education is to be the priority of President Rousseff’ssecond term. “Our slogan will be: Brazil, country of education!” she said. Royalties from the massive pre-salt oil fields off the coast of Rio de Janeiro will provide the bulk of the funding. At present, Brazil spends around 6.1% of GDP on education; Rousseff has set the goal at 10%. She named Cid Gomes, the capable and loyal former governor of Ceará, as her new education minister. On 6 January, Gomes announced a 13% hike in the minimum salary for teachers to R$1,918 (US$715) per month but it still remains a pretty poor salary, barely twice the value of the minimum wage.

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08-01-2015: Latin American Weekly Report

More recent briefings & intelligence

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Agregando valor al café y al cacao en América Latina

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