Lula sees the central financial institution as “irrational” and in opposition to Brazilian society

247 – President Luiz Inácio Lula da Silva criticized the choice made by the group led by Roberto Campos Neto on the Central Financial institution to take care of the rate of interest at 13.75% each year. “Who’s combating at this time with the Central Financial institution is Brazilian society. Retailers, house owners of small and medium enterprises and individuals who want credit score. What is occurring in Brazil doesn’t make sense. We now have 72% of Brazilian women and men in debt, and that is the issue of Brazilian society,” the president mentioned.

Lula expressed concern in regards to the detrimental results of the central financial institution’s resolution on the Brazilian economic system. He identified that sustaining such a excessive rate of interest at a time when inflation is below management prevents the resumption of progress and straight undermines efforts to advertise extra inclusive growth within the nation.

The president mentioned that the financial coverage adopted by the Central Financial institution advantages the privileged sectors of society and transfers revenue to the richest. By holding rates of interest excessive, Roberto Campos Neto’s group makes entry to credit score tough and primarily harms retailers, small and medium-sized entrepreneurs and people who depend on credit score for funding of their companies.

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