Although the release of the Gross Domestic Product (GDP) for the 3rd quarter has negatively surprised market expectations, the economic slowdown is necessary to contain inflation, as explained by economic consultant Zeina Latif in an interview with CNN this Sunday (4).
“This slowdown that we saw tends to gain strength, unfortunately, but it is something necessary to contain inflation. The Brazilian economy is not in a weak frame, even if it is very unequal”, she said.
According to Latif, the increase in interest rates made by the Central Bank is one of the tools used to contain inflation, but the results of the measure in the economy are not immediate.
Overflow PEC
In relation to the PEC of the Explosion, the consultant criticized the text presented. Despite agreeing that the budget planned for 2023 is not “feasible”, Zeina argued that the measure to be adopted would present greater commitments to fiscal policy.
“Any easing would have to come together with signs, with commitments, so that next year we don’t face the same reality”, he said.
In addition, the economist criticized the value presented in the proposal. “It is clear that this scenario of stubborn inflation tends to be prolonged, if the government’s intention is confirmed, and this scenario of interest rate cuts by the Central Bank is ruled out.”
Watch the full interview in the video above.
* Under the supervision of Jorge Fernando Rodrigues
Source: CNN Brasil
A journalist with over 7 years of experience in the news industry, currently working at World Stock Market as an author for the Entertainment section and also contributing to the Economics or finance section on a part-time basis. Has a passion for Entertainment and fashion topics, and has put in a lot of research and effort to provide accurate information to readers.
