ABSTRACT
In Brazil, the COVID-19 crisis has led to several conflicts among many of the 26 states and the federal capital as well as between the federal central government, the states, and the municipalities. The first confirmed COVID-19 case on Brazilian soil was a Brazilian businessman who returned to the country from Italy on 21 February 2020. As the pandemic spread to almost all Brazilian municipalities, the states focused their attention on controlling the virus and, in turn, created their own Crisis Committees. The pandemic had a major impact on the Brazilian economy in 2020. The unemployment rate reached 13.3 percent in September 2020. Federalism in Brazil worked as expected in the economic crisis: the federal government enacted social programs to relieve unemployment and helped subnational units with extra financial transfers. Brazil’s federal system has three constitutionally recognized levels of government: the federal government; 26 state governments and the federal district; and 5,570 municipalities.
