About this work
Jonathan Fortun of the IIF told Bloomberg Línea that Brazil's public accounts no longer add up, citing a 9.5% of GDP nominal deficit, mostly interest, and gross debt of 82.9% of GDP. He said the 8.1% real drop and 13.9% Ibovespa fall after Lula's win raise capital costs and tend to slow 2027 growth. He argued a fourth term needs a debt anchor and mandatory spending reform, which Brazil can pursue gradually given reserves of US$368,000 million.