Brazil’s corruption crisis:

What next for an economy and political class undermined by systemic bribery?


Tuesday, April 11 15:00 UK / 10:00 EDT

After two years of deep recession, Brazil’s economy appears set this year for no more than modest recovery -- if that.

While this in part relates to international uncertainties, most of the economic doldrums are domestically driven -- a ‘perfect storm’ of high unemployment, a heavy household debt burden, an unsustainable fiscal deficit and the impact of the Petrobras/Odebrecht corruption scandal on political and economic sentiment.

Following the ouster of impeached President Dilma Rousseff last year, the fallout from the ‘Operation Car Wash’ corruption scandal has affected high-ranking politicians from across most political parties. Few are left unscathed. Many are party colleagues of President Michel Temer, whose dismal approval ratings raise questions over his ability to push unpopular fiscal and pension reforms through a divided Congress.

Governability questions will not end with the next presidential elections in 2018. On past form, the type of broad-based corruption uncovered by Operation Car Wash -- followed more recently by ‘Operation Weak Flesh’, a bribery scandal surrounding payments to allow the sale of contaminated meat -- may be the only apparent way of getting legislation through a Congress in which no government can realistically enjoy a majority.

If this is so, can the next government do things differently?

Join three of Oxford Analytica’s expert advisors on Brazil and Latin American affairs to discuss the prospects and challenges now facing the region’s largest economy.