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BRAZIL IN 2025: DESTRUCTION or DEVELOPMENT

by Fábio de Oliveira Ribeiro Thursday, May. 20, 2010 at 7:55 AM
sithan@ig.com.br

Brazil commemorates... but the black clouds didn't vanish.



SÃO PAULO-The Brazilian Minister of Finance, Guido Mantega, doesn't have doubts that the recovery of the world economy depends at the emerging countries, like Brics (Brazil, Russia, India and China). In the case of Brazil, he believes if it treats of a real development once it combines economical fomentation with progresses in the social area. He believes that the Brazilian economy will be 4ª of the world in 2025.

On the European crisis, Mantega believes that the problems of the debt of the area have some effect in Brazil, not in the growth of the domestic economy, that “it is impelled by the intern demand .”

Mantega participates in seminar, in Spain, promoted by the Valor (Brazilian newspaper) and newspaper El País about the economical reality of Brazil.

He commented on that pPesident Luiz Inácio Lula da Silva model is based “in the reduction of the poverty and ascension of the middle class” and it created a “market of masses” happening of a “virtuous circle” of the internal market, that it allowed to maintain the high consumption and to resist to the global crisis.

According to the Brazilian Minister, while in Spain the unemployment reaches record, in Brazil, “millions of workstations will be generated on this year”. He also declared that the macro economical variables is totally controlled, mentioning the case of the foreign debt of Brazil, that is of 12,9% of GDP, a third than it was before.

However, the data of IPEA continue frightening. In Brazil 10% of the population they have 75% of the national wealth, in other words, 180 million Brazilians dispute only 25% of the wealth of the country. With this socioeconomic structure Brazil is more close of a civil war than of an entrance in the club of the rich countries.
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