Economics
Brazil Risks ‘Lost Decade’ Without Fiscal Reforms, OECD Says
- Report cites spending, corruption, inequality among concerns
- ‘Brazil won’t make pandemic spending permanent,’ Guedes says
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Brazil must cut spending and mandatory obligations to avoid a “recession like in the lost decade of the 1980s,” according to a study conducted by the Organization for Economic Co-operation and Development.
With debt levels soaring following the government’s pandemic-driven aid package, sustained growth hinges on fiscal adjustments and compliance with public expenditure rules, the OECD warned in an economic survey of Brazil published Wednesday.