Synthesis of the Brazilian Economy

BRAZIL ECONOMICS - Report 01 Jun 2026 by Alexandre Schwartsman, Cristina Pinotti and Diego Brandao

Weak governments, captured by group interests and incapable of confronting financial innovations — such as cryptocurrencies and fintechs — with proper regulation, have fostered the widespread growth of organized crime in Brazil and Latin America. The new phase, initiated after the “blackout” in public spending controls during the pandemic, has worried Europe — a major consumer market for drugs produced in the region — and has been encouraging strong reactions from the US.

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