Major Issues
ECONOMIC DEVELOPMENT: The next president will face pressure to keep the economy growing and strong. This continued expansion will require significant investments in infrastructure, including the development of new energy sources as well as transportation improvements; the country’s major airports are already operating at capacity. The Lula administration’s Growth Acceleration Program initiated several social and infrastructure reforms, and the second iteration of that program, which the next president will oversee, has been budgeted for about US$900 billion.
ENVIRONMENT: The next’s administration will have the challenge of undertaking all this infrastructure and industrial development while mindful of environmental preservation. The Belo Monte hydroelectric dam is one example of this: supporters argue the dam is necessary to meet growing demand for electricity – as industry expands and consumer demand grows. But opponents argue that in building the dam, Brazil is relying on outdated energy sources (hydroelectric plants) instead of investing in new alternatives, such as solar and wind power, while at the same time damaging ecosystems and displacing local communities.
ENERGY: An estimated 10 billion barrels of oil lay several miles deep under the ocean floor just off Brazil’s southeastern coast. Oil has never been extracted from waters this deep, providing a significant logistical and technological challenge, but if the estimates are confirmed, Brazil would be the country with the world’s sixth-largest oil reserves. Meanwhile, Brazil is also considered a worldwide leader in the production of ethanol, fuel distilled from sugar cane. The challenge for Brazil will be to meet its growing energy consumption demands while remaining at the forefront of the development of new, alternative sources of renewable energy.
FOREIGN POLICY: Brazil’s international stature has risen in recent years, partly because of its inclusion in the BRIC group, and under Lula’s tenure, Brazil became a more significant player on the international stage. Brazil has sought permanent membership on the UN Security Council, and President Lula made an attempt – with mixed results – to help mediate the Arab-Israeli conflict. More recently, Brazil helped to negotiate a uranium enrichment deal with Iran, which many expected would keep Iran at the negotiating table and avoid the imposition of UN sanctions on the country. The negotiations succeeded, but sanctions were imposed nevertheless. While Dilma promises to maintain Lula’s international involvement, the other two main candidates are expected to take a quieter approach on the international stage.
WORLD CUP/OLYMPICS: These two sporting events will showcase Brazil to the world in an unprecedented way in 2014 and 2016. The next president will have the challenging task of getting the country ready for the FIFA World Cup – the preparations for which are already significantly behind schedule – as well as making sure Rio de Janeiro is ready to receive the 2016 Olympics. Perhaps these events, more than any other, will determine the next president’s success in the eyes of the international community.
