Brazil’s Rousseff rides anti-graft wave – for now

RIO DE JANEIRO, (Reuters) – It lacks the fervor of  the Arab Spring but the resignation of six ministers from  Brazil’s government, the approval of transparency laws and the  emergence of an angry middle class show that Latin America’s  giant is stumbling toward cleaner government.

Dilma Rousseff

That should eventually make Brazil, which loses up to 2.3  percent of its annual economic output to corruption, more  efficient in its public spending and a better place to do  business.

In the short term, however, the effects are less  predictable as center-left President Dilma Rousseff tries to  harness public anger without provoking a rebellion in her  old-school ruling coalition that could further delay crucial  economic reforms.

In a year when Brazilians’ anger at endemic political  corruption finally boiled over, Rousseff has appeared to stand  on the right side of history, gaining from the impression that  she has dealt firmly with errant ministers.

The perception that she is not tolerating business as usual  in the capital Brasilia has lifted her approval ratings — and  in some unexpected places. An opinion poll in September showed  a remarkable geographic shift, with her highest rating of 57  percent coming in Brazil’s wealthier southern states —  traditionally a weak region for her leftist Workers’ Party.

Thousands of protesters took to the streets in Brasilia and  other major cities in September, angered by the corruption  exposed by the scandals that have shaken Rousseff’s cabinet and  at times threatened to spin out of her control.

“Just as in Chile, the Wall Street protests, and the  so-called Arab Spring, social movements are realizing that  there are ways of effecting change that don’t involve political  parties or unions,” said Pedro Taques, a senator with the  center-left PDT party who advocates tougher anti-graft laws.

It is doubtful how much Rousseff has been actively driving  the putsch, which first claimed the scalp of her influential  chief of staff Antonio Palocci in June and last month accounted  for Sports Minister Orlando Silva after accusations that he  took delivery of bags of cash in the ministry’s garage.

Lula da Silva

Most of the dirt against ministers has emerged first in  Brazil’s fiercely competitive newspapers and magazines,  sometimes fueled by leaks from coalition members upset at  budget cuts announced by Rousseff at the start of the year.

Rousseff, while renowned as a no-nonsense technocrat, is  part of a Workers’ Party that has a long history of graft.

Critics say corruption worsened under her popular  predecessor Luiz Inacio Lula da Silva, who presided over a  period of strong economic growth and took a more relaxed stance  on ministerial spending in his latter years in office.

Claudio Weber Abramo, the president of corruption watchdog  Transparency Brazil, said Rousseff’s government had clearly  stepped up the battle against corruption compared to Lula.

He noted her decision last month to suspend for 30 days  federal government payments to non-governmental groups, or  NGOs, which have starred in several of this year’s scandals as  recipients of public funds subsequently distributed as  kickbacks. Such groups perform a wide range of functions, such  as training workers, with the help of public funds.

“The government is taking a more vigorous approach in  relation to its allies in ministries … It is saying to them:  ‘We are watching you more closely’,” Abramo said.

DEEP ROOTS    

Anti-graft groups are hailing several recent laws that have  set the stage for cleaner politics, although Brazil still has a  long way to go to curb the culture of impunity and the  patronage-based party system at the heart of corruption.

Congress also passed a freedom of information act last  month. Heralded as one of the world’s most far-reaching, it  forces authorities to publish information on spending and to  respond to citizen requests for information.