Inflation started to go down, extols Guedes

Minister Paulo Guedes (Economy) extolled this Thursday (9) that inflation began to lose speed in May and highlighted the government’s action to mitigate the economic impacts of the war in Ukraine on the Brazilian population.

“Inflation started to go down, we just had the first news”, said Guedes at the Forum of the National Supply Chain, promoted by Abras (Brazilian Association of Supermarkets).

The IBGE (Brazilian Institute of Geography and Statistics) reported this Thursday that the IPCA (Extended National Consumer Price Index) slowed to 0.47% in May, reaching 11.73% in the 12-month period. Until April, the high had been 12.13%.

At the event, the minister said that the population cannot continue to bear the high prices and highlighted that the government has acted by reducing costs and cutting taxes, such as import tariffs on rice, beans and other items, the reduction in IPI rates (Tax on Industrialized Products) of 35% and more.

“It’s an ecosystem, we have the entire intermediary chain in which we are doing our part, lowering taxes and reducing costs,” he said.

Guedes also mentioned other measures adopted by the government to stimulate the economy.

“We are trying with our programs, FGTS withdrawals are more than R$ 30 billion, the anticipation of benefits for pensioners and retirees are more than R$ 50 billion, credit, we are sustaining the demand layer. Brazil creates 200 thousand jobs a month.”

196,966 formal vacancies were created in the Brazilian labor market in April, according to the Caged (General Registry of Employed and Unemployed) released by the Ministry of Labor and Social Security last Monday (6th).

Defending the contribution of all agents, Guedes showed support for the proposal presented by the president of Abras, João Galassi, that the supply chain does not readjust the price list of basic foods until 2023.

“It’s time to really sit everyone down and make our motto, just like you synthesized, new table only in 2023,” he concluded.