Brazil Needs Reforms, Says Country’s Industry Leader

The industrial sector, composed of three groups – manufacturing, construction, and mining -, which registered 6% growth this year, is expected to grow at a slower pace in 2005, an average of 4.5%.

This forecast was made by the president of the National Confederation of Industry (CNI), Federal Deputy Armando Monteiro Neto, at the launching of the document “Brazilian Economy: Performance and Prospects.”


He informed that the slight retraction can be explained by the less favorable situation abroad, as a result of the disequilibrium in the American economy, beset by fiscal and foreign debts, and the adjustment in the pace of external expansion, affected by the monetary policy based on controlling inflation.


Monteiro attributed the good performance of the industrial sector this year to the recovery of domestic consumer demand, due to the control of inflation, salary recovery, and the revival of the job market.


The president of the CNI acknowledged that another important factor in the recovery of industrial sales was the 30% export growth registered this year.


He attributes this result to the flexible exchange policy in recent years, guaranteeing a competitive exchange rate.


Monteiro said that a reduction in exports is foreseeable, but he added that, even so, the country will continue to grow.


“The CNI’s forecasts bet on a 3.5% growth rate, but, in order to continue moving in the direction of economic development, Brazil needs to conclude the tax reform, improve credit conditions, alter the labor laws, and expand investments in the area of infrastructure,” he contended.


Translation: David Silberstein
Agência Brasil

Tags:

Ads

You May Also Like

From Lampião to Zé Bonito: Brazil’s Vast Gallery of Good Thieves

The grotesque adage that “a good thief is a dead thief” is common knowledge ...

Trips Abroad Bring Close do US$ 1 Bi Deficit to Brazil’s Tourism

Foreign visitors who came to Brazil in 2005 generated a record turnover for the ...

Brazil’s Petrobras Spends Close to US$ 300 Million in Social Projects

Petrobras, Brazil's state-controlled oil and gas multinational, provided sponsorship and support for 2,300 projects ...

As Expected, Brazil’s Key Interest Rate Drops to Still High 15.75%

Wednesday, April 19, Brazil’s equivalent of the Fed, the Monetary Policy Committee (Comitê de ...

Escondido in Maranhão state, Brazil

Brazilian Court Halts Building of Dam on Indian Land

During a meeting last week at Brazil's Ministry of Justice in BrasÀ­lia, 40 leaders ...

With Public or Private Funds Brazil Is in a Rush to Fix its Roads

Brazil’s government hopes to award the concession for the BR-163 highway, which connects Cuiabá ...

Brazil Ready to Help Exporters Hit by Cheap Dollar

The Brazilian government is preparing a package of measures to help exporters hit by ...

Brazil's Electronics Valley

How Education and Hard Work Built Up Brazil’s Silicon Valley

The year was 1959. The place, Santa Rita do Sapucaí, a city in southeastern ...

Dreaming of Venice

But who was is talking about exterminating, Father? Who? Who talked about this? You ...

Brazil and IMF Are Now Partners, Says Brazilian President

President Luiz Inácio Lula da Silva said Tuesday, January 10, that Brazil’s early payment ...