Government will increase focus on infrastructure

Feb 13, 2015 by admin    No Comments    Posted under: Economy

The Finance Minister, Joaquim Levy, earlier this month said that the Government will increase the focus on infrastructure in order to increase investments and reduce system costs of the economy. Therefore this year it is necessary to resolve the issue of modernization of ports that have a good legislation and high demand from foreign investors.

“There has been huge interest in investments in private ports. However, it is necessary to re-optimize public ports. The reform made during the time of President Itamar Franco (1985 – 1994) was more than successful in Brazil. However, now, after 20 years the cargo transport industry has changed dramatically, as well as the requirements of our business partners. Under these conditions, the physical optimization of ports is an issue that we have to resolve as quickly as possible,” said Levy during the conference for investors and entrepreneurs organized by the bank Bradesco BBI in San Paulo.

Levy further mentioned that the economic team is “modernizing” the Recof, computer program which organizes and stremlines the taxes due by companies dealing with foreign trade operations. However, only companies that have exports at least US$ 20 milion per year can participate in Recof. As such, this minimum has to be reduced. “The Recof exists only for few companies. We want to increase participation and do it aically, not product by product as it is set up today,” said Levy.

Trade agreements are also on the radar of the economic team and are seen as a way to increase the flow of trade and the exports of Brazil. “There is mutual understanding that we have to make trade agreements. The USA is closing a major agreement with Europe, we have neighbors with numerous bilateral agreements and Colombia is moving toward this trend,” said Levy.

Source: www.valor.com.br