The approval of structural reforms, such as Pension Reform, and the advance in infrastructure concessions should define whether Brazil will enter a cycle of sustainable growth from 2020 or return to recession, says Jose Roberto Mendonca de Barros, Secretary of Economic Policy of the Ministry of Finance.
For MB Associados economist, the 1.1% growth of the economy in 2018 was disappointing, especially when compared to previous experiences in which the country recovered from crises. By 2019, it expects growth of 2.2%. Here are excerpts from the interview.
How to evaluate the growth of 1.1% in 2018? The second year after the crisis should not have been more robust growth?
It’s disheartening. At the beginning of last year, everyone expected something between 2.5% and 3% growth. The country came out of such a deep recession and the experience of previous crises was one of the vigorous exits, but we had a succession of disappointments. Still, in the first quarter, demand was weaker and slow to recover. In addition, the truck drivers’ strike in May and the political weakening of the Michel Temer government, which did not allow the Social Security reform vote to be voted on, postponed a bigger windfall in the recovery.