TCU president defends BC in debate on interest rate hikes

by

The president of the TCU (Union Court of Auditors) defended the position of the Central Bank, which maintained the economy’s basic interest rate at 13.75%. “It’s not possible [o governo federal] talk about indebtedness and wait for the monetary authority to stand still, arms crossed”, said Bruno Dantas.

The day before, in an interview, President Luiz Inácio Lula da Silva (PT) had again suggested that he would seek to overthrow the BC’s legal autonomy, criticizing the high interest rates, when the term of the current president, Roberto Campos Neto, ends.

Dantas did not mention this in particular, but rather pointed to the need for a change in the fiscal framework, consisting of the spending ceiling, which was systematically broken in the government of Jair Bolsonaro (PL), from 2019 to 2022.

“After the tax reform is at least designed, I think it makes sense to revisit the fiscal framework in more depth. The fiscal anchor had its function, but the great truth is that the pandemic has shown that a rigid system like the spending ceiling led to so many exceptions… I’ve never seen so many fiscal constitutional amendments [sobre o tema]”, Dantas said.

“What needs to be understood in Brasilia is that there is a real Brazil. For that, we need stability, a fiscal framework,” said the minister, who was participating in a debate at a conference organized by Lide, a business group founded by the former governor. of São Paulo João Doria, in Lisbon.

Dantas said he hoped that the Minister of Finance, Fernando Haddad, would present his plan of action to the court soon. The TCU is responsible for overseeing all government actions, and its opinion condemning Dilma Rousseff (PT) for tax pedaling was central to the impeachment of the then president in 2016.

At the same event, speaking about government responsibility, Minister Luís Roberto Barroso (Federal Supreme Court) said that taxation is essential, as well as social responsibility. He said that “it is not out of malice” that interest rates rise. “They go up because inflation goes up,” he said.

Journalist Igor Gielow travels at the invitation of Lide

You May Also Like

Recommended for you

Immediate Peak