By conservative estimates, new President Michel Temer inherits about $72.5 billion, or 250 billion Brazilian real, debt, Sen. Waldemir Moka
said. As Brazil continues to wade through the longest recession since the 1930s, its once burgeoning middle class is feeling the pinch. More than 11.6 million people in Brazil are unemployed, or about 11%
, between April and June. There are signs the market is picking back up since Temer took office in May, but it has a lot of ground to cover.
In the last year, Brazil’s economy fell 3.8%,
though there are signs the market is picking back up
since Temer took office. Brazil’s currency has rebounded slightly
against the dollar. Pro-business Temer and his team of economists have won over Wall Street
, but we’ll have to see how he juggles spending cuts on pensions and welfare, signature leftist policies from his predecessors.
“This is a moment of hope, to rebuild trust in Brazil. Uncertainty has come to an end. It’s time to unify the country,” Temer said
after Rousseff’s impeachment.
New President hasn’t had the greatest track record…
, who was once Rousseff’s deputy but is not from her party, was sworn in to finish out her term, through the next general election in 2018. While many Brazilians were in favor of Rousseff’s impeachment, they aren’t exactly fans of Temer, whose party is also ensnared in corruption charges. According to polls in April
, many Brazilians favor a new election altogether and want Temer impeached, too.
In his debut as interim President, he cut his Cabinet down to cut costs but was criticized for ending up with a new leadership team made up entirely of white men
. The last time this happened was in 1979, when Brazil was ruled by a military dictatorship. One politician
who voted for Rousseff’s impeachment called him a “vampire” and “virus.” With the world watching, Temer was booed at the Opening Ceremony
at the Rio Olympics. Although he has the support of foreign investors, his slim popularity will be challenged as he pushes for austerity and privatization measures to fix the economy.