Rousseff's Inauguration Promises Continuity for Brazil

The winner by over 12 points in October’s run-off elections, former President Luiz Inácio Lula da Silva’s hand-picked successor Dilma Rousseff assumed the presidency of Brazil on January 1, becoming her country’s first female head of state. Overcoming a process made difficult due to competition between government coalition partners over cabinet posts, the former Marxist urban guerilla began putting together her new cabinet soon after her win, with final appointments announced December 22. With talk of how far Lula’s shadow will fall over the new administration, Rousseff emphasized that her presidency will continue in Lula’s footsteps, but “with a woman’s face.”

In her inaugural address, the 63-year-old mother of one reiterated her goals for her presidency: Building on Lula’s economic policies, increasing access to healthcare, and continuing to fight poverty. Representatives from 132 countries attended the inauguration, including the presidents of Chile, Colombia, Paraguay, Uruguay, and Venezuela, as well as U.S. Secretary of State Hillary Clinton. Alongside the VIP guests were more than 70,000 Brazilians, there to watch as Lula placed the mantel of the presidency on their new leader’s shoulders.

Rousseff is taking over from a president leaving with an 83 percent approval rating—the highest in Brazil’s history. Lula oversaw eight years of strong economic growth, during which tens of millions of Brazilians rose into the middle class. In an interview with The Washington Post, Rousseff said “there is no question” that Brazil will continue on the path Lula started to economic stability. This was reiterated by outgoing Brazilian Central Bank head Henrique Meirelles in an interview with Financial Times’ beyondbrics blog: “I do not foresee any reason why the Brazilian central bank would change a successful policy framework.” Brazilians appear to support this continuity. A Datafolha survey from early December 2010 found that 83 percent of Brazilians expect Rousseff’s presidency to match or top her predecessor’s.

Top Cabinet Appointments Include:

Central Bank Governor: Alexandre Antônio Tombini (PT) served as deputy to outgoing-governor Henrique Meirelles. Experts and investors have voiced concern about Tombini’s nomination, worrying that increasing inflationary pressures will prove to be overwhelming challenges. However, Meirelles has expressed confidence in Tombini’s ability.

Chief of Staff: Antônio Palocci Filho (PT) served as Lula’s finance minister from 2003 to 2006, but resigned during a corruption scandal. Palocci’s return serves as a sign of Rousseff’s confidence and commitment to economic orthodoxy, writes The Economist.

Finance: Guido Mantega (PT), who in September 2011 announced concerns over a brewing “currency war,” stays on advising the presidency. Mantega will lead Rousseff’s efforts to use monetary and fiscal policies to prevent further appreciation of the real, despite international currency pressures.

Justice: As secretary-general of the Workers’ Party, José Cardozo played a major role in coordinating Rousseff’s presidential campaign. Cardozo appointed outgoing Minister of Justice Luiz Barreto to be his executive-secretary, the second highest position in the ministry.

Mines and Energy: Senator Edison Lobão of the Brazilian Democratic Movement Party returns to the post he left in March 2010 to run for senate.

Learn More:

• President Dilma Rousseff’s website.
• Official release listing all cabinet members.
• Reuters Factbox looking at details of all cabinet members.
• Brazil.gov.br introduces the future ministers.
• President Dilma Rousseff's first inaugural address to the public and her subsequent address to Congress.