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COUNTRY INSIGHTS

Challenging Partnerships
PHILIPPINES · Report · 16 Oct 2014

Executive SummaryAfter a false start in 2010, the Aquino administration’s flagship PPP program has finally roared to life. Several large projects have been auctioned off under seemingly competitive conditions which, contrary to model forecasts, yielded substantial revenues for government. Moreove...

Brazil Presidential Election
BRAZIL POLITICS · Report · 15 Oct 2014

A Balanced Debate on TV Bandeirantes The TV Bandeirantes debate conducted yesterday, October 14, ahead of the second round presidential election, was balanced.Dilma Rousseff (PT) was able to put Aécio Neves (PSDB) on the defensive at times, by bringing up controversial issues tied to his time as ...

Education, Labor Reforms Fall Short
MEXICO · Report · 14 Oct 2014

Executive Summary Among the many reforms that were adopted in the past 18 months two are of special importance to the future of education and the labor market in Mexico.But the reform designed to improve the quality of public education and the reform intended to create more flexible labor markets...

Iguala, No Security Strategy in Sight
MEXICO · Report · 14 Oct 2014

Executive Summary Evidence continues to grow that the September 26 attack on students from a rural teachers’ college in the city of Iguala, Guerrero, was carried out by municipal police in coordination with organized crime.The initial toll includes six people killed, three of whom were students a...

Brazil Presidential Election
BRAZIL POLITICS · Report · 14 Oct 2014

Vox Populi confirms tie between Dilma and Aécio The Vox Populi poll released Monday evening, October 13, by TV Record confirms the technical tie between Dilma Rousseff (PT) and Aécio Neves (PSDB), similar to the Datafolha and Ibope polls last week.The difference is that in the Vox Populi poll, Di...

Political Insights: Week of October 14
BRAZIL POLITICS · Report · 14 Oct 2014

This week, two presidential debates between Dilma Rousseff (PT) and Aécio Neves (PSDB) will take place: the first will air on Tuesday, October 14, on TV Bandeirantes and the second on Thursday, October 16 on SBT.Three new polls will be released, but none will include the impact of the debates on ...

Ankara’s twin crisis: Pentagon request rebuffed, PKK returns to insurgency
TURKEY · In Brief · 13 Oct 2014

Painful cluster headaches held me back from contributing to the Weekly Tracker hence I’m issuing this brief note on two recent developments in lieu of an apology. On Tuesday, I'll address a conference call through GlobalSourcePartners to articulate my longer-term views and predictions on how the ...

Long election season ends with Fidesz-KDNP's victory at the nationwide local elections yesterday
HUNGARY · In Brief · 13 Oct 2014

Fact: The governing Fidesz-KDNP won nationwide local elections with a convincing margin yesterday. This vote was a mirror image of the parliamentary election in April, in so far as in both cases, Fidesz-KDNP's results were moderately worse than four years ago, but only compared to their very stro...

The Brazilian Economy at a Crossroads
BRAZIL ECONOMICS · Report · 13 Oct 2014

Executive Summary The new government, whichever candidate wins the presidential runoff, will have to face at least four challenges: a) renewed growth; b) fiscal control; c) reduction of the current account deficit, allowing the real to depreciate; and d) control of inflation. Achieving all the...

Brazil in the Global Context: IMF View in the Most Recent WEO
BRAZIL ECONOMICS · Report · 13 Oct 2014

Last week the International Monetary Fund (IMF) published the most recent edition of the World Economic Outlook, with revised forecasts for economic growth of various countries (Table 1). World GDP should expand by 3.3% in 2014 (a downward revision of 0.1 percentage point), with growth of 1.8% in...

Weekly Tracker: October 12-18
TURKEY · Report · 12 Oct 2014

Executive Summary In this Economics-only Tracker, we review our take on the government’s new Medium Term Program, including a correction of an oversight on our part. We also touch upon the recent comments from the Fitch and the IMF.The former kept Turkey’s sovereign rating at investment grade, wh...

Hints of Stagflation
SOUTH AFRICA · Report · 11 Oct 2014

In September 2014, the Kagiso Purchasing Managers’ Index (PMI) recorded 50.7 index points; up from 49.0 points in August 2014. A reading above 50 points suggests a quickening in the tempo of economic activity. However, the headline September print of the PMI calls for caution as far as making a p...

Economics and Politics, 140 days into the BJP Government
INDIA · Report · 10 Oct 2014

Executive Summary The defining issue in India’s business cycle downturn has been weakness in investment. This has been shaped by difficulties in implementing projects, and in the gloom of firms that felt future profitability was not going to be good. Reviving investment is a central priority of t...

Panama is Now Officially a “Tax Haven” from Colombia’s Perspective
PANAMA · Report · 10 Oct 2014

On October 7, the Santos Administration included Panama in the list of “fiscal paradises” (in the company of Barbados, UAE, Kuwait and Qatar) because the Martinelli administration and now the Varela Government have not signed the exchange of information agreement between Colombia and Panama. Colo...

Brazil Presidential Election
BRAZIL POLITICS · Report · 10 Oct 2014

Datafolha and Ibope: Aécio and Dilma Tied Aécio Neves (PSDB) and Dilma Rousseff (PT) are technically tied in the first Datafolha and Ibope polls.However, the PSDB candidate has the numerical advantage (2 percentage points). The race is close, but these early moments favor Aécio for the following ...

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