Configuring industrial policy financing in Brazil

diversity of instruments and instability of resource supply

Authors

DOI:

https://doi.org/10.21874/rsp.v76ia.10755

Keywords:

industrial policy, innovation policy, development financing, policy instruments, development

Abstract

This article analyzes the configuration of incentive instruments aimed at financing industrial and innovation policy (PII) in Brazil, focusing on existing tools and the challenges related to establishing a more regular pattern for the flow of these resources. The text engages with the literature on political economy that deals with the resurgence of the new industrial policy based on new guidelines and premises. The methodological strategy is based on the instrument-based approach based on bibliographic, documentary and secondary data analyses. The evidence indicates the existence of a comprehensive and diverse range of initiatives to finance industrial policy, both on the demand and supply sides, formulated in alignment with the principles of 21st century industrial and innovation policy. Despite the updating and sophistication of this combination of public policies, the greatest challenge lies in the effective implementation of these instruments, considering the history of instability of the resources supply and measures of this policy.

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Author Biographies

Pedro Luiz Cavalcante, Instituto de Pesquisa Econômica Aplicada (Ipea), Brasília – DF, Brasil

PhD in Political Science from the University of Brasília (UnB), with postdoctoral studies at the University of California and Columbia University. He teaches in the Master's and PhD programs in Public Administration at Escola Nacional de Administração Pública (Enap) and Instituto Brasileiro de Ensino, Desenvolvimento e Pesquisa (IDP).

Mauro Santos Silva, Instituto de Pesquisa Econômica Aplicada (Ipea), Brasília – DF, Brasil

PhD in Economics from the Institute of Economics of the Federal University of Rio de Janeiro – IE/UFRJ. Professor of the Master’s program in Governance and Development and the PhD program in Public Policy, both at the N Escola Nacional de Administração Pública (Enap). Civil servant at the Instituto de Pesquisa  Econômica Aplicada  (IPEA).

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Published

2025-06-25

How to Cite

Cavalcante, P. L., & Silva, . M. S. (2025). Configuring industrial policy financing in Brazil: diversity of instruments and instability of resource supply. Revista Do Serviço Público, 76(a), 121-144. https://doi.org/10.21874/rsp.v76ia.10755

Issue

Section

Capacidades estatais para implementação de políticas industriais e de inovação