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Haddad is not the person traders like best, says economist

Considered to take over the Ministry of Economy, Fernando Haddad is not the alternative preferred by the market, evaluates CNN Brazil Economy analyst Alexandre Schwartsman.

“At first, the reaction [do mercado] it was negative. Every time the name of Pérsio Arida was mentioned, the market reacted very positively, so it seems to me that Haddad is not the person that the market operators like the most or consider the most appropriate”, he said this Tuesday (29) to comment on the economic perspectives of the elected government for the coming years.

About the PEC of the Burst, the economist stated that the value proposed by the transition group is higher than expected by the market. “The ideal would be something that would fit the ‘vitaminized’ Bolsa Família, something on the order of R$ 70 billion – R$ 52 billion for Bolsa Família and R$ 18 billion for the proposal of R$ 150 per child up to 6 years old of age and for a limited period – and already triggering a proposal for a new fiscal framework that would also signal the control of public spending in the longer term”, he said.

Schwartsman highlighted Senator Tasso Jereissati’s (PSDB-CE) proposal on a social responsibility law that would rearrange a set of expenses to deal with poverty. and that it would reach, with the same amount of money, a larger number of people.

“It could even increase a little more within his proposal, something in the sense of having a greater impact. Now, you need to do something that can be measured, something that people can assess what the impact is”, he pointed out.

For him, the ideal would be to foresee a moderate volume of expenses in 2023 to deal exclusively with the fiscal issue and signal what is intended to be done from now on. “The scenario is moving towards a primary deficit next year in the order of 1.5% to 2% of GDP. We know that to stabilize the indebtedness – I’m not talking about reducing it – we would need to have a 2% surplus first of all”.

Check out the full interview in the video above.

Source: CNN Brasil

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