GlobalSource Partners | Country Insights

The TSE’s decision has the possibility of resulting in Bolsonaro’s impeachment or ineligibility in the upcoming elections. Minister João Roma has said that the new social program will comply with the spending ceiling. Both the House and the Senate have a busy agenda this week. The House should vo...

Inflation at 19%, now what? Well, nothing

TURKEY · Report · 03 Aug 2021 · 1 response

Monthly CPI inflation came in at 1.8% in July, somewhat higher than the market consensus (of around 1.6%), with the 12-month rate thus rising to 19% (18.95%, to be precise) from 17.5% in June. Producer prices rose by 2.5% in the month, m/m, which led to a further increase in the 12-month rate to ...

Synthesis of the Brazilian Economy

BRAZIL ECONOMICS · Report · 03 Aug 2021

The greater supply of doses has allowed acceleration of the vaccination campaign, increasing the number of persons receiving the first dose to 105 million, or 49.8% of the population, while 19.7% are fully immunized. The number of deaths has been steadily declining: the 7-day moving average of da...

First woman to become PM of Moldova

RUSSIA / FSU POLITICS · In Brief · 03 Aug 2021

On July 31 Natalia Gavrilita was nominated to be Prime Minister of Moldova. She is due to be sworn in on August 5. She was nominated by President Sandu, who is the first woman to serve as president. Gavrilita is a member of the Party of Action and Solidarity (PAS), which won the election in July ...

El Salvador was downgraded by Moody’s

CENTRAL AMERICA · In Brief · 02 Aug 2021

The rating agency Moody’s downgraded El Salvador’s bonds from Ba3 to Caa1 on July 30th, 2021, turning the country’s debt into the category of “junk bonds”. At the same time, the outlook was rated “negative”. The same grade was also granted by Moody’s in April 2017, when the government failed to p...

Politics: The government can’t seem to get a grip on reality

MEXICO · Report · 02 Aug 2021

The new Chamber of Deputies elected on June 6 will not convene for another month nor have most of the 15 governors-elect been sworn into office. Yet, ever since the results of that vote were announced President López Obrador has maintained a strikingly electoral focus. Although his Morena party c...

Paulo Guedes's battles and other weekly topics

BRAZIL POLITICS · Report · 02 Aug 2021

The Judicial and Legislative branches return to work this week. The president of the House, Deputy Arthur Lira (PP-AL), is working on putting the income tax bill to a vote. The Senate should vote on the bills that deal with the improvement in the business environment and the renegotiation of tax ...

Russian pandemic/political update: Looking forward to Duma elections amid a lasting pandemic

RUSSIA ECONOMICS · Report · 02 Aug 2021

Russia’s daily COVID-19 incidence rate increased in July following its steady growth in June but has seemingly stabilized in the second half of last month. It rose from around 20K to 25K in the first ten days of July, fluctuated around this level in the next ten days and hovered between 22K and 2...

Russia bringing home gold medals but not as 'Russia'

RUSSIA / FSU POLITICS · In Brief · 02 Aug 2021

Due to multiple doping violations Russia is not allowed to compete at the Tokyo Summer Olympics under its own name, national anthem or flag. Instead Russian athletes are competing under the name of the Russian Olympic Committee (ROC). Russian athletes have already won 50 medals, 12 of which are g...

The Legislative and Judicial branches return to work, Arthur Lira will try to pass the income tax bill, and the STF analyzes the legality of an important tax cut

BRAZIL POLITICS · Report · 02 Aug 2021

The Pandemic Parliamentary Committee of Inquiry (CPI) in the Senate also returns to work this week. Deputy Celso Sabino, rapporteur of the income tax bill, should submit a new report on the bill this week. The paper ballot proposal is unlikely to be approved. The market is watching the court-orde...

Economic news still muddled alongside the odd instance of pre-pandemic activity levels

MEXICO · Report · 02 Aug 2021

Data released in July provided plenty of evidence of strong percentage growth from multiple indicators, although most of those gains were achieved thanks to the easy comparison against the months of 2020, when Mexico and the economies of its main trading partners saw activity plummet as the autho...

Fiscal deficit to decline sharply on robust revenues

ISRAEL · Report · 02 Aug 2021

1. In 2022, The fiscal deficit is expected to return to pre-Covid levels without any consolidation. 2. Rapid growth in tax revenues has resulted in downward fiscal deficit forecasts. 3. Rapid growth in hi-tech service exports is offsetting a worsening trade deficit; fundamentals remain...

The fiscal deficit is expected to decline sharply on robust revenues

ISRAEL · In Brief · 01 Aug 2021

Highlights: Sharp growth in tax revenues reduces fiscal deficit The MoF continues to revise its fiscal deficit forecast downwards on surprisingly strong tax revenues. Currently, MoF expect a deficit of 6.8% GDP in 2021 and 4% in 2022. This is expected to stabilize the debt/GDP ratio at around 73%...

Current wage growth is too much for inflation, too little for healthy economic growth

HUNGARY · In Brief · 01 Aug 2021

We quite rarely report on wage growth separately, but this time around it seems really important, from the point of view of growth and inflation prospects, and of government and central bank policy.The news is that net (after-tax) wage growth for the average full-time employee was 8.2% yoy in May...

Deepening relationship between China and Ukraine

RUSSIA / FSU POLITICS · In Brief · 31 Jul 2021

In June 2021 Kyiv appended its signature to a statement condemning China for the persecution of the Uyghur ethnic minority. Over 40 nations had signed the statement. The document was to be presented to the UN Human Rights Commission at Geneva and demanded an investigation into the detention witho...