RIO DE JANEIRO, BRAZIL – Inflation is global today because central banks have been asleep at the wheel, Economy Minister Paulo Guedes said at an event sponsored by Arko Advice and the Traders Club. “Ours has already woken up.”
With the pandemic, food and energy prices rose worldwide. And still, a war came, the minister commented.
Brazil, however, quickly bounced back and emerged from the crisis in a “V” shape. “We rose more than advanced economies,” he said.
He said the service sector is moving at a higher level than before the 2015 recession. In addition, fiscal policy is strong because the country “has done its homework.”
So the timing is right for Brazil, he assessed. Disrupting supply chains offers a new opportunity for the country, which has been excluded from the globalization cycle.
He noted that the country knows how to get out of the trough quickly.