12.6 C
New York
Saturday, November 26, 2022

Don't miss

Lula tests Haddad’s acceptance at the Farm in a double with Arida at Planning

- Advertisement -
Haddad’s bet grew after he accompanied Lula to Egypt, at COP-17 (Image: REUTERS/Amanda Perobelli)

the president elect Luiz Inacio Lula da Silva tests the resistances to the name of Fernando Haddad for the command of the Ministry of Finance with the possibility of the former mayor of Sao Paulo teaming up with economist Persio Arida on the economic team for his third term as President.

The first sign has already been given by Lula. Haddad was selected by the president-elect to represent him at the annual lunch of bank leaders at Febraban, with the presence of the president of central bank🇧🇷 Roberto Campos Neto🇧🇷 The meeting will be tomorrow in São Paulo.

- Advertisement -

Haddad’s bet grew after he accompanied Lula to the Egyptat COP-17.

Even with voice problems, after surgery to remove a lesion in the larynx, the expectation of those around him is for a stronger signal from Lula.

- Advertisement -

It would not yet be an official indication, but “gestures” to show that Haddad has all the political and technical conditions to occupy the position. Lula is going to ask Haddad to hold “conversations” with market representatives in the coming days.

Despite the articulation, Haddad suffers resistance from the financial market and also from the political environment of Congress, including PT parliamentarians. Barriers that supporters of choosing his name in the PT believe can be overcome.

With the idea of ​​Persio Arida on the economic team, this path could be paved in the evaluation of defenders of Haddad’s name. A way to reduce resistance with Arida in the Ministry of Planning, Budget and Management.

The big question is whether Arida, considered one of the most brilliant economists of his generation and one of the formulators of the Real Plan, would accept being a secondary figure in a portfolio that was always considered to have less power in the Esplanada, before the formation of Paulo’s superministry of Economy Guedes, which will be divided by Lula.

Lula will ask Haddad to hold “conversations” with market representatives in the coming days (Image: REUTERS/Adriano Machado)

With the need to reform not only the fiscal framework to replace the spending cap, but also budget management, the new Ministry of Planning could gain another level, especially in the case of Lula deciding to carry out administrative reform, restructuring the public service.

A hot topic on Arida’s agenda is the modernization of public administration and the institutionalization of the search for results in the public service, starting with the financial budget execution process, whose legislation dates back to the 60s.

On the other hand, it is in the team coming from the former Ministry of Planning that the civil service salary negotiations take place – a complicated skewer in normal times and much more difficult after years of salary readjustments frozen by Paulo Guedes.

Negotiations of the secret budget, a scheme revealed by Estadão which consists of transferring funds to parliamentarians without transfer criteria in exchange for political support, are another headache for anyone sitting in the chair of Planning, the hub of budget management.

The possibility of Arida becoming an executive secretary at a ministry led by Haddad, which circulated this Thursday, 24th, in the financial market, is considered very difficult (or even almost zero), according to people close to him.

Market gives message to Lula
The first sign has already been given by Lula. Haddad was selected by the president-elect to represent him at the annual luncheon (Image: REUTERS/Mariana Greif)

The password that the definition of the name for the Ministry of Finance by Lula is close was given by Senator Jaques Wagner (PT-BA), who defended this Thursday the nomination to facilitate the negotiation of the Proposed Amendment to the Constitution (PEC) of the Transition , which faces negotiation difficulties in Congress.

Haddad’s group of allies considers that his name would be “funneling”. Anyone who is against the nomination and is close to Lula advises that the former mayor should be transferred to a ministry that has a positive agenda. This is not the case with the Ministry of Finance, where the minister has to say no most of the time.

Follow Money Times on Facebook!

Connect with Money Times journalists and readers. Our team brings the most important discussions of the day and you participate in conversations about the news and analysis of everything that happens in Brazil and in the world. Click here and start following the Money Times Facebook page!

Source: Moneytimes

- Advertisement -

Latest Posts