Monthly Statement – Jan/20

Dear Friends,

We have completed one year of Bolsonaro’s administration. The Brazilian people voted to have a radical change in everything we were experiencing. It is undeniable that the environment the current president found imposed enormous challenges on him, and much has been done. However, the comparison needs to be made, especially with the expectations that had been created, of which the current administration has fallen widely short.

Amid the usual nitpicking, diffuse “game”, ignorance of how the government works, hubris and a lot of heat, we watched petty discussions and sordid pitfalls that alienated important people and distanced others that could have helped in the first and most significant year of government. The year 2020 has started and in its first month, we continue to see more of the same. Some areas of the government, such as Finance, Infrastructure and Justice, among others, even try to set the tone differently, but the work as a whole strongly lacks an articulator that can foster and guide the defense of innovative and truly disruptive ideas, as we believed at the time we vote to change the direction of Brazil. The pace and adherence to change need a new impetus, and the time is now – in the Q2 2020, Congress will be “busy” with municipal elections. Just as the Pension Reform was matured, discussed and approved with praise, the Administrative and Tax reforms also lack the same determination, understanding and approval. Similarly, we need to move forward in privatizations and concessions of public utilities. The government appears to be much more conservative in speech than in practice. We voted to have a smaller, stronger government, and not remain bloated and weak.

The main principle that we still hope for is that we have a profound revamping of government. Choosing the right people to conduct their offices is critical, but we shouldn’t be concerned about minor events. Still, the big shift we expect is not in the reduction of the public sector or in the fiscal rebalancing – both essential, although likely to be ephemeral. We need to discuss ideas and realign the fundamental guidelines for the country, and prevent the current situation from perpetuating. The Brazilian citizen and society as a whole need to feel represented, and the pillars of a reformed state must be solid enough to withstand adversity and meet the population’s wishes.

We are on the right track, but at a slow pace … and everything in life hinges on timing! The measures taken so far demonstrate how it all can be better. With the achievements of the areas that impose a differentiated tone, especially those mentioned above, the results are quite impressive. We need to follow suit in others, as in Healthcare, Itamaraty (Foreign Affairs) and Education.

The response to these actions is, albeit mild, immediate. It doesn’t matter. What matters is that they were done and that they are interpreted as permanent and sustainable changes. Only then will confidence be restored and consolidated. And with confidence back to various sectors and a good management of our image – domestically and abroad – based on structural, transparent and democratic policies and ideas, the future lies brightly ahead!

 

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