Brazil and Portugal face new regulatory and economic shifts

In Brazil, new legislative proposals are targeting digital privacy and public accountability. A bill presented by Deputy Chico Alencar seeks to amend the General Data Protection Law (LGPD), requiring social media platforms to provide simplified, standardized summaries of data usage. This aims to prevent “dark patterns” by clearly stating if data is used for commercial purposes, AI training, or sensitive information collection. Additionally, another proposal aims to regulate the use of private aircraft by public officials, requiring disclosure of flights to ensure transparency.

In Portugal, the business sector is facing several challenges. Business confederations have expressed concerns regarding a proposed law on salary transparency, warning that it could increase administrative burdens and legal risks for companies, particularly SMEs. Economic data also indicates a difficult period: corporate profit margins in Portugal have fallen to 31%, a nearly two-decade low and significantly below the EU average. Furthermore, insolvency rates have risen, particularly in the services and construction sectors, while micro-enterprises continue to represent the majority of insolvency cases.