McCourt Hosts Brazilian Governor for Federalism Discussion

Pimentel’s presentation began with illustrations of the steep obstacles to federal governance in his state. Income inequality, economic stagnation, and large budgetary deficits have posed big challenges to his government’s ability to address the needs of the people.

In spite of these challenges, however, Pimentel said that his government has made progress. Upon assuming office in 2015, he instituted regional government forums, which divided Minas Gerais into 17 development territories. This allowed Pimentel to start a dialogue with local governments, target resources more effectively, and adopt business friendly policies to stimulate economic innovation.

As economic activity increased, Pimentel said that he was able to direct more government revenue to investments in security forces and education. New investments in school infrastructure and teachers’ salaries led to large increases in school attendance, he said. Pimentel announced that students in Minas Gerais have some of the highest marks in their evaluations for reading, writing, and math in all of Brazil.

The results of the regional development forums in Minas Gerais provide an interesting case study for public policy students to learn how federal governance, with the right leadership, can stimulate economic revitalization.