In the past few years, the Brazilian economy has seen a steady increase, with the numerous amount of companies that have suddenly emerged in this fast developing market. The financial sector, in particular, has experienced an extremely positive outcome, owing to the influx of cash flow in the economy. Earlier this money, the government in Brazil announced that they would be working towards implementing concessions for the firms and businesses that are on the move of development in the country. The government stated that to put this plan into motion, they would be partnering up with BNDES (Brazil Development Bank). The plan of action that the government has proposed is a view of giving grants and subsidies to business so that they will invest more in the country.
In an interview with Edison Carlos, he pointed out the various nuances about the initiative and talked about the impact that it would have on the Brazilian economy. Edison is the president f Trata Brasil, a company that offers solutions in basic sanitation. Being a Brazilian national and someone who has a good amount of knowledge regarding the economy and the financial world, Edison was able to give a good amount of insight into the matter at hand. He explained the case concerning the sanitation industry in Brazil. In his interview, he stated that the company functioned as a public sector company, with a majority of its customers being served through state-run organizations. With the implementation of the new policies in place, private companies will not have more of an incentive to invest in the country, putting public service companies on a back seat.
In the interview, Edison Mentioned how since private companies have more resources, it becomes the state’s job to ensure that there is no wastage of resources. Since in some parts of the country, resources are scarce, the government should give subsidiaries based on the location that the company is setting up in, and the benefit that they would provide to the country and the area around which they are being built, ensuring that exploitation does not happen on any level.