Progress and stability as Brazil elects new President
This weekend Brazil voted in the country’s first ever female President. Dilma Rousseff won a resounding victory and immediately promised to keep committed to the economic policies that have seen millions come out of poverty and create one of the world’s hottest economies.
The result was certainly helped by the impressive economic mandate laid down by the former President Luiz Inacio Lula da Silva, who himself picked Rousseff from relative obscurity.
Rousseff indicated that her government would continue their mission to end poverty by the end of her 4 year term while continuing to support infrastructure that will enable Brazil to achieve developed-nation status. She also vowed to maintain the country’s excellent economic stability and to respect existing contracts with private companies. The fact that she was joined at her press conference by Antonio Palocci - Lula’s former finance minister is a clear indication that she will not diverge from market friendly policies established and celebrated under Lula. Addressing the public in her victory speech, Rousseff admitted that she would ‘knock on Lula’s door’ frequently during her tenure.
The economic boom that the country has recently experienced has led to Brazil’s new middle class purchasing cars and building houses at an unprecedented rate – a shining light in the current world economic climate. Rousseff will seek to keep this going while also attempting to exploit the country’s newfound offshore oil wealth and bring in further private investment.
Finally, if any further proof was needed – Brazil’s stock market, bonds and currency all posted gains ahead of the vote. The financial panic that preceded the election of Lula in 2002 seems but a distant memory for Brazil.