Last month things couldn't have looked brighter for Brazil. The glamorous haven of Ronnie Biggs had begun to gain credibility in the cautious eyes of the City. Yet for all this the UK has stood on the sidelines of Brazilian investment. One per cent.
Brazil has a serious percentage of short-term debt and an election coming up in the next few months.
Despite commitment to the Real Plan, President Cardoso has, as yet, been unable to reduce the tax deficit. If re-elected, he will be expected to continue reform of State bodies to increase efficiency and accountability. Most significant of the Cardosa-initiated programmes is that of privatisation, with the reinsurance and energy sectors waiting in the wings. These projects involve companies like Shell, Enron, AES and British Gas. That calibre of company will need sophisticated international advice.