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2016-03-16 13:10:52
15 March 2016
Millions of Brazilians took to the streets in nationwide anti-government
protests on 13 March.
Police figures suggest a record 3.5 million people demonstrated in more than
300 cities across the country.
Many of them had wrapped themselves in the Brazilian flag and said they wanted
"their country back".
They also called for the impeachment of President Dilma Rousseff, the arrest of
former President Luiz Inacio Lula da Silva, and an end to corruption.
Here we take a closer look at the problems besetting the country and what has
gone wrong since President Rousseff was re-elected for a second term in October
2014.
Is Brazil in crisis?
Brazil's largest circulation newspaper, Folha de S Paulo, seems to think so. It
has a whole section entitled "Brazil in crisis" under which it lists its latest
articles on the recent protests, various corruption investigations and attempts
to impeach President Rousseff.
Rio-based O Globo speaks in its editorial (in Portuguese) of a "deep and wide
crisis driven by the biggest nationwide street demonstrations in the history of
the country".
And it is not just the media who are speaking of a crisis.
Senator Tasso Jereissati of Brazil's opposition Social Democratic Party also
spoke of a crisis and said that within his party "there is full realisation
that the moment is quite serious".
Economy in the doldrums
Brazil's economy is going through its worst recession in more than three
decades following a drop in prices for Brazilian commodities such as oil, iron
ore and soya.
In 2015, the economy shrank by 3.8%, its worst annual performance since 1981.
Inflation reached 10.7% at the end of last year, a 12-year-high.
Unemployment increased to 9% in 2015 and economists predict it could go into
double figures in the coming months.
Brazil's currency lost a third of its value against the dollar in 2015 and its
value dropped again after the mass protests of 13 March.
Corruption
One of the main complaints by protesters who took to the streets on 13 March
was the high level of corruption which has tainted the highest echelons of
business and politics in Brazil.
Since the Workers' Party came to power in 2003 there have been a series of
corruption scandals involving politicians from the governing party and also
opposition parties. The two biggest are:
Mensalao: Name given to a corruption scheme in which public funds were
illegally used to pay members of Congress in exchange for their backing the
government in crucial votes. The scandal first broke in 2005. By the time the
Supreme Court concluded its trial in 2012, 25 politicians, bankers and
businessmen had been convicted, some of whom were top members of the governing
Workers' Party.
Operation Car Wash: Name given to an investigation launched in March 2014 into
allegations that Brazil's biggest construction firms overcharged state-oil
company Petrobras for building contracts. Part of their windfall would then be
handed to Petrobras executives and politicians who were in on the deal.
Prosecutors allege that the Workers' Party partly financed its campaigns and
expenses through these kickbacks.
Who has been convicted?
The allegations of corruption are far reaching and include top politicians and
businessmen. Twenty-five people were convicted in connection with the Mensalao
scandal. They included:
Jose Dirceu, President Lula's ex-chief of staff
Jose Genoino, former head of the Workers' Party
Henrique Pizzolato, former marketing director of Banco do Brasil
Among the top names convicted in connection with Operation Car Wash are:
Marcelo Odebrecht, construction tycoon sentenced to 19 years in prison
Joao Vaccari, treasurer of the Workers Party, sentenced to 15 years and four
months
Nestor Cervero, former Petrobras executive sentenced to five years
President Rousseff under fire
President Dilma Rousseff's approval ratings have plummeted since she narrowly
won the presidential election in October 2014.
Dilma Rousseff: Facing the perfect storm
According to a Datafolha poll released on 28 February, only 11% of respondents
across the country said the president's performance was "good or excellent".
Ms Rousseff was head of the board at Petrobras from 2003 to 2010 and many of
her opponents say she must have known about the corruption scandal in which the
oil giant was involved.
She has always denied any involvement and a parliamentary commission cleared
her of any wrongdoing in October 2015.
However, she is facing impeachment proceedings over allegations she manipulated
Brazil's account books to hide a growing deficit.
Many of the protesters who took to the streets on 13 March chanted slogans
demanding her impeachment and urging her to step down.
The brief detention by police of her mentor and predecessor in office,
ex-President Lula, further hurt the president's image.
Lula in the spotlight
President Lula, who governed the country for eight years from 2003 and was one
of Brazil's most popular politicians, was briefly detained on 4 March as part
of Operation Car Wash.
He was questioned over allegations that he received "illicit benefits" from the
Petrobras kickbacks scheme, such as having a construction firm involved in the
Petrobras scandal renovate a luxury beachfront apartment and a ranch allegedly
owned by Lula's family.
Prosecutors filed charges of money laundering against Lula. Federal Judge
Sergio Moro will now have to decide if he accepts those charges.
President Rousseff is expected to offer Lula a post in the cabinet, which would
shield him from Judge Moro's investigation.
Under Brazilian law, cabinet members can only be tried by the Supreme Court,
not by a federal judge.
The move is expected to prove highly divisive with Brazilians, some of whom
believe he is the victim of a political vendetta while others argue that his
alleged misdeeds are catching up with him.
The fact that Lula has hinted that he would be willing to run again for the
presidency in 2018 has further increased the scrutiny he is under.
A country divided
Supporters and opponents of President Rousseff and Lula have held rival rallies
in the past weeks.
Feelings are running high on both sides.
Supporters of the governing Workers' Party point to the achievements the
Rousseff and Lula administrations brought about, such as lifting millions of
people out of poverty and reducing inequality.
They say that the allegations against them are a smear campaign designed to
drive Ms Rousseff from office and prevent Lula from standing for the presidency
in the 2018 election.
They say that the massive corruption investigations are a sign that under the
Rousseff government such crimes are being punished rather than swept under the
carpet as in previous administrations.
The fact that high-ranking members of the Workers Party have been convicted,
they argue, is proof that there is no immunity.
Opponents of President Rousseff accuse her of mismanaging the economy and say
her government is deeply corrupt.
They say they are fed up with the Workers' Party after its 13 years in power
and demand a clean slate.