Tuesday, 6 August 2019

Brazilian financial market bets on the approval of the Social Security Reform in the second-round vote in the Chamber of Deputies; Tax Reform would be next step

However, there is a possibility of weakening in the text of the Social Security Reform, which aims to save around 900 billion reais in 10 years. Now in the second round, MPs cannot include new passages in the text but may remove parts of the text, which could reduce the total saved.

For most analysts, the Brazilian National Congress must now turn its attention to a Tax Reform. Yesterday, the presidents of the Chamber of Deputies and the Senate announced that they will present a single proposal for tax reform.

According to many Brazilian economists, despite this positive movement of the National Congress to work to present reforms with Social Security, there is still no guarantee of the resumption of economic growth.

Now, for analysts, Brazil needs beyond tax reform, improving the business environment, advancing infrastructure projects and promoting the opening of the economy.

No comments:

Post a Comment

Brazil to Host World's Largest Biogas Plant, Pioneering Sustainable Energy

The Louis Dreyfus Company (LDC) marks construction commencement of the world's largest biogas plant from citrus effluents, which is loc...