Lula Pulls Off Rare Trick Twice, Wooing Wall Street and the Poor
- Brazil economy beat expectations in 2023, but is slowing down
- That’s when social spending plans may clash with budget vows
In his first spell as Brazil’s president, Luiz Inacio Lula da Silva managed to keep both low-income voters and Wall Street investors happy. In his first year back in power, he has pulled off the same rare trick.
The $2 trillion economy expanded close to 3% in 2023 — triple what analysts were expecting in January when Lula returned to office. Inflation has slowed and polls show the president’s supporters, predominantly poorer Brazilians, feel that he’s delivering. Meanwhile the stock market jumped to an all-time record and the country’s credit rating was improved.
