Conservative about-face for Brazil's Rousseff

Economic growth, the World Cup, prosperity - only four years ago, it seemed like the world was at the feet of Dilma Rousseff and her Workers' Party (PT). The economy grew by 2.7 percent, social programs increased the buying power of everyone in the country and the then upcoming World Cup soccer championship meant all eyes were on Brazil.

On January 1, 2015, the 67-year-old politician's new term begins as the country's leader, though the spirit of optimism that surrounded her first tenure has faded into sober pragmatism.

"We will prove that it is possible to make economic adjustments without revoking rights or betraying past commitments," Rousseff said as she was sworn in for her second term on Thursday. "More than anybody, I know Brazil needs to resume growth."

The economy is forecast to grow by a mere 0.8 percent in 2015, the country's elite has been rocked by a number of corruption scandals and the floodlights of the World Cup stadiums no longer shine.

The good times are over

"Rousseff's second tenure is starting off with austerity measures, which will automatically cause a decrease of investment in social programs," said Luis Felipe Miguel, professor of political science at the University of Brasilia. "The miracle is over."

The PT has been successful in terms of social and business politics, but "these policies will not longer pan out," Miguel added.

Rousseff has much less political leeway in her second term than in her first. "The Workers' Party and the left lost power in the last election," Miguel said, adding that the president is now dependent on her conservative coalition partners to receive the necessary majorities in congress.

The paradox is that the Workers' Party, which over the past 12 years through various programs has managed to lift millions of people out of extreme poverty, is the party that must now implement severe austerity measures to fill the budget's gaping holes. The very party which spoke as the voice for indigenous rights, day laborers and agricultural workers now has to put its money on agribusiness.

Brazil's new "Miss Chainsaw" minister

Brazil's new cabinet is a manifestation of this political about-face. To fill the position of finance minister, Rousseff has chosen austerity expert Joaquim Levy. The 53-year-old worked for the International Monetary Fund (IMF) from 1992 to 1999 and then served as an under secretary in the Brazilian planning and budget ministry for the government of then President Fernando Henrique Cardoso (1995 to 2002).

But what caused even more resentment among PT supporters was the appointment of Senator Katia Abreu as the minister for agriculture. Originally a stock farmer, she took over the cattle ranch after the death of her husband and in 2010 was awarded the "Golden Chainsaw" by Greenpeace. In congress, she represented the interests of the large landowners.

"Economic policy is guaranteed, but the rest is being sold off for cheap," Brazilian columnist and book author Alberto Dines lamented in an article for the Spanish newspaper "El Pais." Considering the necessary reforms, the appointments were a farce, he wrote. "It is quite possible that most of this squad of ministers won't be sitting long enough to warm up their chairs."

Social programs instead of samba

But it all started out so well. As the first female president of Brazil, Rousseff rectified stereotypes about her country and people. Social programs instead of samba; UN peace missions instead of Carnival; cooperation with the global south instead of dependence on the United States, Rousseff continued implementing the successful policies of her predecessor Luiz Inacio Lula da Silva.

And just like her mentor "Lula," who entered politics as a leader for a metal workers' union, Rousseff also fought in the 1970s against the military dictatorship, which ruled the country from 1964 to 1985. Certainly no one imagined back then that she would move in to the presidential palace 40 years later. The pain and suffering caused by the torture she was subjected to in the regime's prisons in the 70s made her a pioneer for Brazil's movement to reconcile with its past.

But after a promising beginning, mass protests surrounding the World Cup, which Brazil hosted last summer, and corruption scandals slowly overshadowed her time in office. In 2013, for the first time in Brazil's history, ministers were arrested and imprisoned for corruption - for bribing PT coalition members for votes.

During the past election campaign, the state-run oil concern Petrobras had to give a moral oath of disclosure. Indiscretions by a former director provided shocking details on the goings-on in the company, which allegedly only commissioned work in return for bribes. It is still not clear just how much Rousseff knew about the company's politics of corruption.

Despite all of this, political scientist Luis Felipe Miguel said he does not believe graft is the trademark of Rousseff's government. "Dilma fired a number of directors but she didn't seek investigations in to these matters." Had she done that, it would have been an affront to political allies.

Political pragmatism hasn't only penetrated Brazil's Workers' Party; it has also entered the president's office. Dilma Rousseff has also changed from "Lula's girl," who moved into the presidential palace in tears, to a strict leader who will govern for another four years.