On the campaign trail, Luiz Inácio Lula da Silva promised to sustain a massive welfare program, increase the minimum wage and boost health and education spending. Now, Brazil's president-elect is trying to make good on those pledges — and investors are showing concern.
Da Silva's transition team on Wednesday night presented Congress with an outline of a proposal to skirt a constitutionally imposed spending cap by creating a carve-out for welfare. Then, at the climate talks in Egypt on Thursday, he reiterated that he pays little heed to whether his plans to lead a socially responsibile government might cause jittery speculators to sell off.
