In late October following a significant victory for Jr Bolsonaro in Brazil’s ial elections, the stock market for ’s country shot up. markets reacted favorably to the s because Bolsonaro, a free-market proponent, promises to deliver broad economic reforms, fight corruption and to reshape Brazil through a pro- agenda. While some have dubbed him as a far-right “Trump of the Tropics” agnst a backdrop of many Brazilians feeling that has fled them, the outlook is etremely positive.

When -elect Bolsonaro ointed Santander Roberto Campos as of Brazil’s central in mid-November, Brazil’s stock market chee agn with ’s Bovespa stocks surging as much as 2.65 percent on the day s was announced. According to Reuters, “analysts sd Bolsonaro, a former captn and lawmaker who has admitted to having scant kledge of economics, was assembling an eperienced economic to implement his plans to slash spending, simplify Brazil’s comple ta sy and sell off state-run companies.”

Admittedly, are some chenges as well. Most notably, pension-sy reform tops the of priorities to get on the right track quickly. A costly pension sy is increasing the country’s debt and cond to Brazil losing its investment-grade cit rating in 2015. According to the administration, Brazil’s domestic product could grow by 3.5 percent during 2019 if Congress roves pension reform . The other issue that’s cropped up to tarnish the glow of Bolsonaro coming into power are suspect payments made to his son that are being eamined by COAF, the crimes unit.

While the jury is still out on Bolsonaro’s impact on Brazilian society at large after being portrayed as the Brazilian Trump by the opposition party, he’s come across as less authoritarian during his days in office. Since the election, his tone is calmer and he’s repeatedly sd that he plans to govern for Brazilians, not just those who voted for him. In his speech as , he invited his wife to speak which has never hened before.

Still, according to The New York Times, “some Brazilians remn deeply divided on the , a former captn who has hled the country’s military dictators and made disparaging remarks about women and minority groups.”

Others have epressed concern about his impact with the “an assault on environmental and Amazon protections” through an order within hours of taking office this week. , some major press outlets have been more upbeat: “With his mi of market-friendly economic policies and conservativism at home, Mr. Bolsonaro plans to align Brazil more closely with developed nations and particularly the U.S.,” according to the Wall Street Journal this week.

Based on his ly stated plans, ’s why Bolsonaro be good for and how his administration build an even stronger entrepreneurial ecosy in Brazil:

Bolsonaro’s ial Reform

Temer leaves office with 29 ministries. Bolsonaro plans to uce the number of ministries to 22, which uce spending and make the smer and run more efficiently. We epect to see more modern nology implemented to eliminate bureaucratic e and inefficiencies.

ly, this open up more partnerships and contracting of tups’ solutions. contacts for nology be used across n the ministries including , ation, , finance, management and legal administration – which have a positive impact especiy for the rich and booming SaaS market players in Brazil.

Privatization

Of Brazil’s 418 -controlled companies, are 138 of them on the federal level that could be privatized. In comon to Brazil’s 418, has 25 -controlled companies, the U.S. has 12, Australia and each have eight, and Switzerland has four. Together, Brazil-owned companies employ more than 800,000 today, including about 500,000 federal employees. Some of the ones petroleum  Petrobras,  EletrobrasBanco do Brasil, ’s in terms of its assets, and Caixa Economica Federal, the 100 percent -owned institution in .

The process of privatizing companies is kn to be cumbersome and inefficient, and the from political ointments to professional management surge the need for better management , especiy for SaaS solutions.

S Education to Boost Brazil’s Talent

Based on Bolsonaro’s original plan to move the oversight of university and post-graduate education from the Education Ministry to the Science and nology Ministry, it’s clear the ial administration is favoring more STEAM courses that are focused on Science, nology, Engineering, the Arts and Mathematics.

Previous administrations threw further behind ities-focused education programs. Similar S-focused higher education sys from such as Singapore and South Korea have ed to generate a bigger of qualified engineers and nical talent badly needed by Brazilian tups and larger companies doing in the country. The additional talent boost in the country Brazil better compete on the global .

The Boys’ “Super” Ministry

The merger of the with the Treasury, and Industry and Foreign and Services ministries create a super ministry to be run by Dr. Paulo Guedes and his of Chicago Boys. Trned at the Department of Economics in the under Milton Friedman and Arn Harberger, the Boys are a group of prominent an economists who are cited with transforming into ’s best performing economies and one of the ’s most -friendly jurisdictions. Joaquim Levi, the recently ointed chief of BNDES (Brazilian Development ), is also a Boy and a strong believer in venture capital and tups.

Previously, Guedes was a in Bozano Investimentos, a pioneering private firm, before accepting the take the helm of the ’s eighth- economy in Brazil. To have a of economists who deeply understand the importance of rapid- companies is good s for Brazil’s entrepreneurial ecosy. This group of 30,000 tup companies are responsible for 50 percent of the job openings in Brazil and they’re growing far faster than the country’s .

Bolsonaro’s Pro- Cabinet ointments

Bolsonaro has ointed a majority of nical eperts to be part of his cabinet. Eight of them have strong nology backgrounds, and this deeper kledge of the sector better inform decisions and open the way to more funding for innovation.

One of those ointments, Sergio Moro, is the for the anti-corruption initiative ks as “Operation Car Wash.” With Moro’s nomination to Chief of the and his anticipated fight agnst corruption could generate economic and uce in the country. Bolsonaro’s cabinet is also epected to simplify the crazy and overwhelming ta sy. More than 40 different taes could be whittled down to a dozen, making it easier for entrepreneurs to launch companies.

In general terms, Brazil and have long suffe from deep inefficiencies. With Bolsonaro’s administration, ’s promise that be an increase in long-term infrastructure investments, reforms to uce corruption and bureaucratic e, and enthusiasm and for tup investments in entrepreneurs who the country’s fastest-growing companies and make significant nology advancements to “lift boats.”

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