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Print articleVista Brazil: Monthly Review of Economic, Legal and Political Developments
April, 2013 -
President Dilma Rousseff has launched an ambitious investment program in infrastructure, transport, logistics, and energy that will cost US$ 235 billion. The president and the entire government have been mobilized in the search for these investments, from domestic, foreign, public, and private sources.
During the first two years of Rousseff's government, the assumption was that public investment alone would maked GDP grow. When a concessions program for highways, railways, ports, and airports was launched, it suffered from heavy-handed state presence and failed to take into account the basic elements that motivated investors.
It was also assumed that promoting a drop in the Selic interest rate and appreciation of the Brazilian currency would cause private investment to follow naturally.
