Thursday, April 20, 2017

“BRAZIL AND THE USA ESTABLISH A NEW AGENDA”


While the country navigates on accusations of corruption, money laundering, influence peddling, delinquency, welfare reform, education reform, labor reform and other decadent information, there have also been for some time positive signs in the economic foresight.
If we consider only the internal political chaos, little or no hope remains for Brazilian people, who are often optimistic about the problems that arise. Yet, Brazil has already created an economic structure that, based on the "endless" natural resources, continues to be one of the most promising economies in the world.
Show must go on, thus it is vital to launch a new strategy also on the international level. And that's exactly what Itamaraty is already outlining with the big power, the USA. The two countries will soon outline a new work agenda to be handled by the two governments.
The main goal is to normalize relations between the two countries, making  less bureaucratic and facilitating cooperation so that the first meeting between the two presidents (expected for the second half of this year) isn’t just a pose for photography.
The main topics:
- An agreement for the use of the Alcântara base (Maranhão) to launch American satélites.
- Regulatory convergence and trade facilitation measures.
- Scientific cooperation.
- Agreements between the police and intelligence agencies of the two countries.
In addition to these issues, the USA has already let it known through its Secretary of State Rex Tillerson that Brazil should once again play a prominent role in its region, notably by coordinating efforts among South American countries in order to find a solution to the political crisis in Venezuela.


Miguel Verde

Wednesday, April 19, 2017

Portugal and the fallacy of "illusion"

When we watch portuguese televisions, newspapers and websites, we feel that Portugal is going through a period of economic development and confidence, after facing austerity years.
After the international financial crisis, Portugal is one of the eurozone countries with the lowest price evolution rate. The Socialist government seems to be living in a "cocoon" of convenient lies seeking to deceive citizens, by systematically releasing government-friendly statistical data on sensitive matters as unemployment or proclaiming the lowest democracy deficit (a trend already existing since 2013). Some international media such as "The Economist" align in these "good results" so well propagated by the socialist machine. Sometimes the other leftist parties belonging to the government support this thesis, often contradicting their core principles, while other times they prefer to berate and remember negatively the recent austere right-wing government. In fact, austerity was the conductive line of the right-wing government during the crisis years. Unfortunately, it forgot that associated with austerity it should have promoted the investment and consequently the economic growth. However, the current leftist government seems to be making the same mistakes the previous Socialist government led by Jose Socrates made. The national debt continues to grow, resulting in a lack of confidence especially by international investors. That is why it charges higher interest rates than to other countries. This week it was observed that families double weight in state debt ( they hold about 12% of direct state debt).
Portugal urges for a deep structural reform, which certainly doesn’t follow a “random policy”. This left-wing government is generating over the citizens a big "ilusión" that will cause bitterness for the next crisis.
The Portuguese - European Union relationship also has to be rethought, especially in this current international context.
 Lisbon is currently one of the most attractive tourist spots in Europe (the "amusement park"), and this is undoubtedly good news, but one must not forget some economic figures released by complacent media does not hide the gradual decline the country has lived since the beginning of the century. The President Marcelo Rebelo de Sousa current concern with begging which we all praise, should not be forgotten, If nothing changes, the global scenario for the near future isn’t so shinning as some people foresee. The so-called portuguese "miracle" is a fallacy.


Miguel Verde

Thursday, December 8, 2016

BRAZIL:"Politicians vs Judges":

BRAZIL:"Politicians vs Judges":
Brazil is facing another political crisis which is culminating in several demonstrations over the country.
This time the measures against corruption created by the Federal Prosecutors`Office are at stake. The Chamber of Deputies modified its initial project, claiming misuse of authorithy by judges and public prosecutor's officers. It even foresees their arrest. These changes would be voted with urgent status by the Senate. This type of political manoeuvres eventually led to another gigantic popular uprising. Several deputies are facing legal proceedings and apparently the "lava jato" operation is leaving politicians more shameless than ever.
Are people's determination to overhaul politics changing anything? Renan Calheiros (senate President) seems to be the first suffering the consequences at this stage, or maybe not.  The population is on the judge's side (they are the "good guys"). The "villains" are the politicians as usual. But, aren't we dealing over a constant rush of functions among the three powers?
Brazil urgently needs order and credibility in its political institutions. Unfortunately corruption is walking hand in hand with politics. Nevertheless, perhaps giving the judges a carte blanche isn't the best answer.



Thursday, November 24, 2016

BRAZIL: "Politicians in prison: who's next?"

Arrests in Brasil are happening at a frenetic pace with a big mixed feeling of enthusiasm and revolt from population.
In September we had the arrests of Guido Mantega (revoked afterwards - former Lula and Dilma finance minister) and Antonio Palocci (former Lula finance minister).
Last month, Eduardo Cunha's arrest (one of the most influential politicians over the last 20 years and former chamber of deputies president)   caused many concern on some  political channels. If a plea bargain goes along with Cunha (it seems Cunha knows many things) a new political "earthquake" may devastate Brazil again.
This November there was the imprisonment of two former Rio de Janeiro governors. Antonio Garotinho (accused of vote buying) and Sergio Cabral (allegedly diverted public funds from government). The estimated loss is around $R 200 million reals.
The Media went crazy by having a lot of news which allows them to "spout its poison" wherever they want. People are claiming for exemplary punishments. Judges build prestige each time some prominent politician is put into jail. Sérgio Moro, the judge and main protagonist of the "lava jato" operation is gaining unprecedent prestige. Some points can be raised. Will we witness fair, prompt and effective trials? Will the judiciary system be reliable and exempt? Who's next in prison?



Tuesday, November 15, 2016

BRAZIL:Trump got the election. Is it good for Brazil?"

BRAZIL:"Trump got the election. Is it good for Brazil?"

Economy and trading - The Republican party stands for free trade. That would be great for Brazil if it also followed that path. Yet Trump has already enhanced that american trading deals must be renegotiated in order to preserve jobs and reduce the American deficit with the rest of the world.
Immigration - Trump statements over immigration issues have been controversial and rather explored by  media. One must understand it's important to differentiate legal and illegal immigrants. And most of all, those who have criminal records. The entry of new immigrants will depend much on the chances one has of being successful in the US.
Brazil-USA ties: over the last years there was some distance between the two countries. Hillary and Trump didn't speak much about Brazil or even spoke clearly about latin American policies. T rump has been demonstrating signs of unpredictability. Brazil-US ties are diverse. Temer surely wants a more attractive country to International investment, thus the US is a key player to this "new" Brazil, regardless the president's name.
The uncertainty after Trump's election and his political economic guidelines generated the sudden surge of the US dollar. It's over R$ 3,40 even with the intervention by Central Bank.








Friday, November 11, 2016

BRAZIL:"The university admission exam (enem) is just one more warning Brazilian society is awfully segmented"


Last weekend the Enem was held  in all Brazilian states.  Some students weren't able to do it now, because the school or university where the exam should take place was occupied by some students and other individuais who are against the governamental measure which aims restricting federal public spending. 
As usual, there were those who were for and against this assessment test. Some students arrived late to the exam, thus weren't able to do it. The media and some assholes turn this situation into a show event, humiliating the laggards. The compositon subject was about "ways to fight religious intolerance in Brazil". Intolerance is by itself rising in Brazil.
Enem is just one more episode demonstrating how Brazil is divided. Nowadays, what stands out in Brazil is the sharp division among brazilian society, particularly a more radical confrontation between Left and Right.

Wednesday, November 2, 2016

BRAZIL:"Local elections 2nd round: trends confirmed":

Local elections second round have just confirmed what we have been glimpsing in the first:
● The sharp decline of the workers party (PT). Consequently the conservative forces are gradually gaining ground. This isn't only a consequence of the "lava jato" operation.
● PMDB (Brazilian democratic movement) increase; nevertheless it lost Rio de Janeiro and the old political establishment has seen better days.
● PSDB (Brazilian social democracy party) also improved its results. This 2nd round acknowledges Geraldo Alckmin as the strongest party candidate for the next presidential elections.
● The multitude of  parties in these elections is showing how society is fragmented.