Brazilian President Luiz Inacio Lula da Silva has signed an executive order to encourage data center investment by waiving certain federal taxes on relevant equipment.

The policy exempts IT capital expenditures, such as servers and refrigeration, from taxes including PIS, Cofins, IPI, and import duties.

Brazil’s Finance Ministry estimates this could spur up to 2 trillion reais (US$377 billion) in investment over the next decade.

A separate bill introduced by the government seeks to establish new rules for the country’s antitrust regulator, CADE, when handling cases involving major tech firms.

Both measures require congressional approval, though the executive order takes immediate effect for a limited period until lawmakers decide.

🔗 Source: Reuters