3min chapter

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Lula loop: meeting Brazil’s presidential front-runner

Economist Podcasts

CHAPTER

Lula's Growth Plan

Brazil has been restricted by this fiscal spending cap that was put in place in 2016. Lula says they need a more flexible fiscal rule, something that would allow for more short term borrowing and spending when Brazil is in a difficult economic situation. His long-term strategy for growth relies heavily on expanding Brazil's public banks and funding infrastructure projects.

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