Since the mid 1990s, Brazil has enjoyed improved economic and financial stability largely owing to a strengthening of its macroeconomic framework. In order to quickly catch up with the group of high income countries the overriding need is to achieve strong and sustainable growth. This will require continued good macroeconomic, social and environmental policies and structural reforms designed to boost savings and investment and foster infrastructure development. Higher international uncertainties and cross country interdependence, rapid population ageing and a greater reliance on oil revenues will call for policymakers to expand their tool kit to respond to this challenge.