PBLN will be joining the Massachusetts Innovation Economy Mission to Brazil next week led by Massachusetts Governor Deval Patrick. As described in today’s Boston Globe, the 50 business and government leaders will include several cabinet secretaries and agency heads in key sectors, and top brass from universities and research institutes; as well as executives from EMC, Microsoft, Akamai, Kronos, Endeca, Where, Inc. and many others.
Tom Dretler, who is PBLN's Board Chair was CEO of Eduventures, Inc. during the March 2011 Trade Mission to the UK led by Governor Patrick. Tom (seated, center) announced an Eduventures joint venture in London during the trip, and was joined in the announcement by Massachusetts Secretary of Housing and Economic Development Greg Bialecki (standing).
Joining me representing PBLN in the delegation are Ceralta Technologies CEO Linda Moulton, Harmonix Music System CEO Florian Hunziker, and NanoTerra Vice President and General Counsel Winston Henderson. Kirk Sykes, president of the Urban Strategy America Fund, a New Boston fund and Mass Challenge CEO John Harthorne, who are also PBLN members, are on the delegation as well.
Governor Patrick recently hosted a meeting at the State House in Boston with Brazilian Ambassador to the United States Mauro Vieira and Consul General of Brazil in Boston, Ambassador Fernando de Mello Barreto. It yielded the following nuggets in my notebook:
- Inflation is now 5.8%, down from 2300% in 1993
- Brazil has $350B in monetary reserves
- Unemployment is 6.2% (No Typo)
- Positive economic outlook is rooted in the work of two consecutive governments and 2 main points: (1) macro-economic stablization; (2) emphasis on strengthening the middle class, which paid off in the form of a very strong domestic market during the peak of the global financial crisis. Brazil has the fastest growing middle class on the planet
- A point of particular pride is that only 10% of GDP is from exports (same as the US, he said)
- Last year the Brazilian economy grew 7.5%
- Trade with Massachusetts is $400M/year
- The Brazilian government will fund 75,000 students to study abroad in the next four years, half in the US
- The largest US based Brazilian community is in Massachusetts
- Brazil is expecting $50B of investment due to the Soccer World Cup in 2012 and the Olympics in 2016
If you know Brazil, what lessons are there for the creation of a more sustainable US and global economy? What examples or lessons are there of government and business defining a shared agenda and collaborating with civil society to achieve it? These are some of the questions I will be looking to answer, for the benefit of all sides and all parties.
Keep an eye here for more from the mission – and please share your comments freely.
Looking for more about PBLN? Click here or email me at Andy at pbln dot org.
About Andy Tarsy
Brazil has demonstrated leadership in its energy policy. Hydro electric is almost 90% of the power consumed in Brazil today although there is a huge investment in wind energy. Brazil is also the world leader in the use of ethanol in its cars. Most of the new cars sold in Brazil can be powered by 100% ethanol and can also run on regular gas. Very interesting stuff.
I hope the team enjoys it — maybe everyone will come back convinced that growing the middle class is the only way to sustainably grow a consumer dominated economy