State capabilities and challenges of Brazilian industrial policy in the 21st century

lessons from the studies collected in this special issue

Abstract

This special issue of Revista do Serviço Público looks at the structural challenges of industrial policy in contemporary Brazil, highlighting that overcoming them requires more than technical proposals. The focus is on the need to strengthen governance, bureaucratic-organizational capacities and public-private articulation mechanisms. The history of difficulties in implementing these policies indicates the urgency of a systemic, relational and adaptive approach that goes beyond the traditional technocratic perspective. Central questions are addressed: (i) how can effective governance and coordination mechanisms be implemented? (ii) to what extent is the success of industrial policy related to the most effective strategies for coordination between the state and the private sector? (iv) how can robust monitoring, evaluation and learning systems be structured? (v) what are the links between the formal design of policies and their effective implementation processes? and (vi) how can stable, predictable financing instruments be built that are aligned with development missions? The articles offer theoretical reflections and empirical analyses, proposing paths towards a sustainable, inclusive and innovative industrial policy. The findings highlight that the main obstacle to the effectiveness of Brazilian industrial policies lies not only in the quality of the instruments or the adoption of external models, but in the limited state capacity to sustain productive development strategies over time. The construction of solid institutional arrangements and consistent state capacities is pointed out as an essential condition for the progress of these policies.