Lula announces Mercadante as the new president of the BNDES and says he will put an end to privatizations

President-elect Luiz Inácio Lula da Silva (PT) announced this Tuesday (13) as president of the BNDES (National Bank for Economic and Social Development) the former minister and former senator Aloizio Mercadante.

“Aloizio Mercadante, I saw some criticisms about you, about rumors that you are going to be president of the BNDES. I want to tell you that it is no longer a rumor: Aloizio Mercadante will be president”, said Lula.

The president also declared that “privatization will end in this country”.

Lula participated in an event to close the activities of the technical groups of the transitional cabinet, this Tuesday afternoon (13). He was at a table next to elected vice-president Geraldo Alckmin (PSB), first ladies Janja and Lu Alckmin, PT president Gleisi Hoffmann, ministers already appointed to the future government and other coordinators of the transition, such as Merchant itself.

“We need someone who thinks about development, someone who thinks about re-industrializing this country, someone who thinks about technological innovation. Who thinks about generating financing for small, large and medium-sized businesses so that this country can once again generate jobs”, said Lula , extolling the future president of the bank.

Coordinator of the transitional cabinet’s technical groups, the ex-minister was already considered by the PT as certain to lead the BNDES. Rumors involving his name, however, had been provoking a reaction from the market.

For investors, Mercadante’s appointment would signal a more developmental economic policy by the elected government, with a possible expansion of public spending to boost growth.

Allied to this, rumors of changes in the State-owned Law were also mentioned by financial agents as one of the reasons for the sharp drop in the Ibovespa this Monday.

As Mercadante acted in Lula’s campaign, his nomination for a state-owned company could come into conflict with the legislation.

In another message that may be poorly received by the market, Lula also stated that his government will not promote the privatization of state-owned companies. He added that public companies will be able to “show their profitability”.

“There will be no rain, no sun, nothing in this world, unless God forbid me, to make this country smile again, make people happy again, and believe that this country is over the mutt complex. We are not inferior to anyone, we are equal to everyone and we want to be masters of our territory”, said the graduated president.

“The privatizations in this country are going to end. They have already privatized almost everything, but it will end and we will prove that some public companies will be able to show their profitability”, completed Lula.