e NW, Washington, DC 20008
telephone:
(202) 745-2700
FAX:
(202) 745-2827
consulate(s) general:
Boston, Chicago, Hong Kong (Trust Territories of the Pacific Islands),
Los Angeles, Miami, New York, and San Juan (Puerto Rico)
consulate(s):
Houston and San Francisco
US diplomatic representation:
chief of mission:
Ambassador Melvyn LEVITSKY
embassy:
Avenida das Nacoes, Lote 3, Brasilia, Distrito Federal
mailing address:
APO AA 34030
telephone:
[55] (61) 321-7272
FAX:
[55] (61) 225-9136
consulate(s) general:
Rio de Janeiro, Sao Paulo
consulate(s):
Porto Alegre, Recife
Flag:
green with a large yellow diamond in the center bearing a blue
celestial globe with 27 white five-pointed stars (one for each state
and district) arranged in the same pattern as the night sky over
Brazil; the globe has a white equatorial band with the motto ORDEM E
PROGRESSO (Order and Progress)

@Brazil, Economy

Overview:
The economy, with large agrarian, mining, and manufacturing sectors,
entered the 1990s with declining real growth, runaway inflation, an
unserviceable foreign debt of $122 billion, and a lack of policy
direction. In addition, the economy remained highly regulated,
inward-looking, and protected by substantial trade and investment
barriers. Ownership of major industrial and mining facilities is
divided among private interests - including several multinationals -
and the government. Most large agricultural holdings are private, with
the government channeling financing to this sector. Conflicts between
large landholders and landless peasants have produced intermittent
violence. The COLLOR government, which assumed office in March 1990,
launched an ambitious reform program that sought to modernize and
reinvigorate the economy by stabilizing prices, deregulating the
economy, and opening it to increased foreign competition. The
government also obtained an IMF standby loan in January 1992 and
reached agreements with commercial bankers on the repayment of
interest arrears and on the reduction of debt and debt service
payments. Galloping inflation (the rate doubled in 1992 and by March
1994 had risen to 42% per month) continues to undermine economic
stability. Itamar FRANCO, who assumed the presidency following
President COLLOR'S resignation in December 1992, was out of step with
COLLOR'S reform agenda; initiatives to redress fiscal problems,
priva