“We are not the problem, but the solution”. This is the conviction that moves the governors of the nine states that make up the Brazilian northeast, a huge region, five times the size of Italy, but with a population of just 53 million.
Historically it is one of the most backward areas of the country, with economic differences that clash with logic and third world social problems, such as that of 10 schools not connected to the water network. Yet in the last decade, the north-east has reared its head and now, thanks also to a renewed political class, the consolidation of democratic institutions and a newfound unity of purpose between the administrations of the individual states, it is willing to do its part and proposes itself as the locomotive of the whole country.
On the other hand, with its noble past, the region is eager to regain its primary role both in economics and in politics, lost during the 900s to the detriment of the more advanced regions of the south and southeast, from Brasilia to Sao Paulo, passing through Rio de Janeiro, Belo Horizonte and Porto Alegre. Cradle of Portuguese colonization, the most important city in the region is Salvador de Bahia which was also the country's capital for over two centuries (1549-1763) before the royal court of Portugal moved to Rio de Janeiro, taking with it the political headquarters of the empire.
But now, thanks to the income redistribution social programs promoted by the previous governments of Luis Inácio Lula da Silva, a native of Pernambuco, one of the most important states in the region, and to the expansion of credit, above all for family agriculture, the The economy has picked up again and in recent years Northeast gross domestic product grew at a faster rate than the national average: in 2010 it was 7,8%, practically a Chinese rate.
A positive economic cycle that is fueled by the creation of new jobs, by raising the minimum wage and with the consequent increase in the purchasing power of the population: "Today, if you visit any city, by now all the shops have the sign, the showcase. The butcher displays the meat in the best way and the beauty salons have customers. The market is updating and this produces self-esteem” explains the governor of Bahia, Jacques Rossi to Carta Capital magazine.
They are also driving the economy the great works. The Petrobras oil company has made investments in virtually all states: refineries have been installed in Maranhão, Ceará and Pernambuco, a regasification terminal in Bahia, a cellulose and paper factory in Piauí, as well as investments in ports, roads and railways in the region.
With a greater purchasing power than in the past, consumption has soared. The most impressive data is undoubtedly that relating to the sale of motorcycles: between 2005 and 2010, sales increased by 266%, well above the national average which however recorded a very high peak, +185%. What if owning a home and a mobile phone are needs that many already satisfy, lately a real race has started towards the purchase of cars and electronic products, especially computers and cameras.
National and international companies have long sensed business opportunities and investments in one consumer market that has huge margins for growth they have already left. Purchase by installments is now common practice even among the lowest strata of the population, and it is precisely this portion of society that drives high consumption.
Furthermore, it should not be forgotten that the region has a enviable tourist potential. Salvador de Bahia, Recife, Natal and Fortaleza are just the most famous places, but thousands of kilometers of white beaches with a wonderful sea are a strong attraction for tourists from all over the world. Currently, the State of Bahia alone receives 27 international flights per week.
Il real estate boom it is another driving factor of the regional economy. What is worrying, however, is the lack of specialized manpower in the civil construction, industry and commerce sector. A challenge that local governments must and want to overcome in the near future thanks to investments in schools and training courses.
When at the end of 2011, Fifa chose the cities that will host the 2014 World Cup, in the Northeast there were scenes of jubilation. In the deep south of Brazil, on the other hand, people grumbled or openly complained about the preference accorded to the northern regions: the construction of four new stadiums are in fact a further stimulus for the region. In Salvador de Bahia the old plant was demolished and the new Fonte Nova, a 350 million euro project, is currently under construction. A few hundred kilometers further north, in Recife, the Pernambuco Arena it will cost around 250 million euros, while going further up the coast one arrives at Natal: here too the old plant has been demolished, in its place the new Stadium of the Dunes (200 million euros). And that's not all, given that even further north, in Fortaleza, lo Castelao stadium is undergoing renovation, for a total investment of 210 million euros.
It is therefore an extremely vital area that has no intention of wasting the current positive situation. The goal to give further impetus to the regional economy is to collect part of the proceeds that Brazil intends to derive from the exploitation of vast oil fields of the pre-sal, a project for which investments of 100 billion euros are planned.
The Northeast, which includes 28% of the entire Brazilian population, currently produces 14% of the national GDP, yet receives in return from the BNDES, the national development bank, just 12% of the total funding. The southern regions are once again the most benefited since they receive as much as 50% of the allocated funds. Numbers that have raised a real northern question which in recent times has coalesced the governors of the nine states against the excessive power of the southern states, guilty of leaving just the crumbs to the north.
A situation that has been going on for decades and which as a consequence has created a social deficit. Today, 18% of the northeastern population lives in extreme poverty, while the national average is 8,5%. Infant mortality has the highest rates than in any other area of the country, as well as life expectancy which is three years below the average, 70 years against 73. Half of all Brazil's illiterates, over 7 million people resides in the Northeast. And the per capita GDP is also about a third of the national average.
Strident contrasts that in fact make Brazil one of the most unequal countries in the world. But if a few weeks ago Brazil established itself as the sixth world economic power it also owes it to its deep Northeast.
