The fiscal challenge

BRAZIL ECONOMICS - Report 22 Jan 2018 by Affonso Pastore, Cristina Pinotti, Marcelo Gazzano and Caio Carbone

The recession is over and the next challenges facing the country are to achieve reforms in two areas: fiscal control and productivity growth. In this report we reiterate the magnitude of the fiscal challenge in the medium term. The problem of the debt dynamic will not be resolved only with approval of the pension reform, even if it were to be voted in its original version (before being attenuated during the negotiations between the Executive and Congress).

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