Pacheco criticizes inflation and says that high interest rates are harmful to production

The president of the Senate, Rodrigo Pacheco (PSD-MG), harshly criticized this Friday (10) the current economic situation in Brazil, in particular high inflation. Pacheco said that “problems that we didn’t need to be living with” are increasingly present in the lives of Brazilians.

The senator from Minas Gerais participated this Friday morning (10) in an event organized by the Commercial and Industrial Association of Cascavel, Paraná.

The criticisms take place exactly on the day of the release of the IPCA (Broad Consumer Price Index), which pointed to the biggest increase for November since 2015. The accumulated inflation is close to 11% in the last 12 months.

“We also have problems that have been increasingly present in our lives as Brazilians and they are problems that we didn’t need to be living with: inflation. In the 1990s, a group of people, under the baton of a miner, Itamar Franco, conceived the Real plan that may be capable of fighting inflation,” said the president of the Senate, who is a pre-candidate for the presidency of the Republic.

“Today, inflation knocks on our door, as well as high interest rates, which are absolutely harmful to the country’s production, knock on our door. High interest rates are the recipe for failure for the country’s economy,” he added.

Pacheco continued to point out problems faced in the economic area, citing “very considerable” unemployment and the “severe” devaluation of the real. And he added that, at a time when the economy needs to grow, the country faces a structural obstacle, with the energy and water crisis.

“And with the perplexity that we have to grow our economy, we have to generate jobs, we have to develop and we bump into a basic thing, which is not having energy for national growth, due to the lack of energy and water planning, which makes us today we are experiencing a crisis of inflation, high interest rates, unemployment, currency devaluation, added to the crisis of electricity, water and social,” he said.

The president of the Senate also stated that the economic problems faced are still aggravated by the political situation in the country, marked by a strong polarization that is the “even greater recipe for failure”.

He lamented the deaths caused by the new coronavirus pandemic and also that not even this difficult moment served to unite the population and the political class. And that this situation was aggravated by “undemocratic rapes” and the hypothesis of no elections in 2022.

“Unfortunately, this polarization, this division, has reigned in Brazil in recent times and has led to something that we could not be discussing in the middle of 2021, which is the questioning of our democracy,” he said.

“We even considered not having elections in 2022, in anti-democratic outbursts, taking to the streets to demand the closure of institutions, the return of the military dictatorship, an institutional act. This is not the way to go anywhere,” added the President of the National Congress, without citing President Jair Bolsonaro and his supporters.

He just added that it is necessary to respond to these raptures, whether they are bravado or “tasteless jokes”.

On the other hand, the president of the Senate cited what he described as recent advances, such as the establishment of a spending ceiling and some proposals approved by Congress during the pandemic, such as Pronampe and a measure to deal with the emergency situation in health.

Pacheco also highlighted the enactment of the PEC dos Precatórios, which makes the payment of the Brazilian Aid of R$ 400 feasible.

“This is an immediate problem that we have, which we managed to solve this week with the approval of the PEC dos Precatórios, the common part approved by the two houses was promulgated. make it real in people’s lives,” he said.

Pacheco repeated the phrase that he considers job creation the best social program, but he stressed that Brazil is an unequal country and that is why he defends the state’s actions in favor of a marginalized part of the population.

The president of the Senate also commented on the approval of the extension to 2023 of the payroll exemption for 17 highly employable sectors.

“Yesterday, we approved the tax relief project for 17 sectors that employ more than 6 million people. When it comes to tax relief, it’s a little bad. It’s a different tax model for those companies that have high employability,” he added.