Haddad says he will present a fiscal framework no later than April

Minister Fernando Haddad (Finance) stated that he intends to present the fiscal framework by April, but again emphasized that the structure is just one of the points on the portfolio’s agenda.

“The tax is part of the homework, but it is not the complete economic agenda,” he told journalists in Davos, where he is participating in the annual meeting of the World Economic Forum.

A senior executive who participates in the forum and is familiar with the Brazilian economy and politics told the Sheet that there is hesitation on the part of foreign investors in relation to an increase in expenses and a rise in taxes in Brazil. In the second, Haddad stated that the government has no intention of raising taxes.

“We are going to think about the perspective of carrying out the tax reform and rethinking the fiscal framework, which is what will provide sustainability now we are going to combine the fiscal, which is a presupposition for development, but it is not an end in itself”, said the minister.

“You have to keep your accounts in order, but for you to develop the country, you need a certain proactive policy.”

The same executive who spoke of hesitation in the face of the economy stressed that there is, on the other hand, more confidence in Brazil’s institutional framework and also in the country’s commitment to environmental preservation, two points of uncertainty under the late Jair Bolsonaro government.

Haddad reinforced the premise, saying that interlocutors, especially those linked to geopolitics, have shown interest in the agendas for the two themes, and that this is especially important in the current recalibration of relations with the United States. President Luiz Inácio Lula da Silva is due to visit American Joe Biden in February.

Haddad arrived in Davos on Monday (16) and will leave the city in the Alps on Wednesday (19), two days before the end of the event. This Tuesday morning, he met with representatives of the Saudi government and with Ian Bremmer, from consultancy Eurasia.

During the afternoon, he meets with investors at a lunch sponsored by Itaú, participates in a panel on Brazil alongside Minister Marina Silva (Environment) and holds meetings with the managing director of the International Monetary Fund, Kristalina Georgieva and her pairs from Germany and Colombia. In the evening, he attends a dinner offered by BTG.