Will the Emergency Measures Affect the Economical Reform Agenda In Brazil?
The weight over the economy is already being felt
The timeline of economic reforms previously planned are already delayed. A previously situation that was already demanding reforms in the economy is becoming more serious because of the pandemic. The Brazilian State, in order to support companies and workers that were affected directly by the quarantine safety procedures had to spend money. So the economical situation is still uncertain, but now we had to stop the Country in order to save many lives.
Number of cases in Brazil is increasing
The covid-19 amount of cases and also death in Brazil is increasing right now and fast. The situation with the coronavirus is getting worse in Brazil and maybe we are reaching the peak of the curve of the infections within the next Weeks. So the social distancing is essential to help the Health System to take care of the most severe cases. And of course many people need to go to the streets in order to work and help supporting their families. So in order to help with this situation the Government offered an emergency aid for service providers, small businesses and people that became unemployed suddenly.
Social distancing measures affect economies as businesses need some type of human interaction to sell
Selling products and services is fundamental for the economy and, of course, human interactions are a natural part of that. Clients want to go to a store and check the products, go to restaurants to try food, invite workers for construction projects, etc. It all requires a type of social interaction that is closer or over the recommendations of the World Health Organization for retraining the amount of covid-19 cases throughout the World. Another thing we might know for sure is that the covid-19 will not just disappear, we will have to deal with it in the best way possible. Maybe we have never seen in our latest generations such an undefined time economically and also related to serious Health issues.
How to adapt to a new reality of social distancing?
Our economy might be in great danger if we don’t face a new reality. The social distancing measures are designed to at least decrease the contamination rates to a level that can be dealt by the Hospitals in the whole World. More respirators are being purchased all over the World, but the reality is that we need to put the contamination rate down in order to be able to help as many people possible. This might take time, and there is an urgent need of an economical plan that really will pay for all the generations of taxes payed by the Brazilian people to the State.
We are dealing with a serious disease that is showing itself to be eager over the people in the Americas
The cases on China, Italy and other countries were numerous and there has been scary death tools before the curve could be at least diminishing. Now the disease caused by the coronavirus is fully over the Americas, with countries that already deal with economical problems but are also great in terms of territory and population; so numbers are increasing tremendously. We have a huge territory full with people and there are many in the midst of a situation that shows that they are actually afraid of the disease but they also need to make money to support themselves.
In this article we talked about some of the difficulties that Brazil is going through during the covid-19 pandemic and how our measures to improve the economical system might have to change. Don’t forget to like our post and share with all your friends interested in Brazilian and Latin American Economy!