Deputies disagree on Lula’s criticism of the Central Bank’s interest rate policy

To the reviews of the president Luiz Inacio Lula da Silva to the performance of central bankespecially the maintenance of the rate of feesreverberated in the plenary speeches this Tuesday.

The controversy began after deputy Lindbergh Farias (PT-RJ) announced that he intends to propose the summoning of the president of the Central Bank, Roberto Campos Netoto discuss the directions of the economy.

“We cannot accept that a president of the Central Bank determines and puts a brake on the country’s economy”, said the congressman when criticizing the decision to keep the interest rate at 13.75%. “When President Lula speaks out and talks about interest rates, it is not a provocation. His concern is with economic growth, with job creation,” he said. The deputy also defended the creation of a parliamentary front against abusive interest rates.

Already the deputy Mauro Benevides Filho (PDT-CE) stated that he will ask the Central Bank to send the parameters that based the decision to keep the interest rate at a high level. “There is no other country that has an interest rate compared to Brazil. I will ask the Central Bank to send the parameters so that we can make our contribution to improving the monetary policy”, he said.

Psol leader, deputy Guilherme Boulos (PSol-SP), stated that Campos Neto wants to be the “owner” of Brazilian monetary policy. He criticized the fact that Campos Neto has ties with former president Jair Bolsonaro’s ministers while claiming to be independent. “How can we talk about an independent Central Bank when bankers are the ones who profit from it? Keeping this interest rate so high is a disgrace to the country,” he said. He announced that the Psol will support Campos Neto’s summons and present a bill to revert the Central Bank’s autonomy.

In the opinion of the deputy José Nelto (PP-GO), in addition to Campos Neto, the Minister of Economy, Fernando Haddad, should also be summoned to explain the power of bankers over the government. “Bankers have always ruled in Brazil,” he said.

Attacks

Deputy Carlos Jordy (PL-RJ) considers that the new government has made “attacks” on the autonomy of the Central Bank. “Lula wants to take away the autonomy of the bank that makes our monetary policy; but, no, we are not going to allow this farce to perpetuate,” he said.

For deputy Maurício Marcon (Pode-RS), Lula is “wanting to blame Roberto Campos Neto for the misfortunes of the country”. According to him, “Brazil now has the best president of the Central Bank in the world. Maybe that’s why Lula wants to overthrow him,” he said. For Marcon, the PT’s objective is to be more interventionist in monetary policy.

“Lula’s real objective is to overthrow Campos Neto to make Brazil, once again, an economy that produces money. What is making money? It’s putting the machine in motion to finance work in Argentina, Cuba and Venezuela. This will generate inflation, this will make our country a Venezuela”, he said.