In an interview with CNN this Friday (9), the former director of the Central Bank (BC), Tony Volpon, and the executive director for the Americas of Eurasia, Christopher Garman, evaluated that the market will wait for the profile of the economic team and the positions of the future finance minister, Fernando Haddad, to clear up doubts about the country’s economic conduct.
“The most important thing is that he starts defining the guidelines he will follow as minister. The first thing we are going to see now is the team, who will be on his team and also the first positions on the doubts that the market has, for example, what the new fiscal anchor will be like”, said Volpon.
“The market will wait to see the team’s profile and what the revenue compositions are to try to start calculating what the public debt dynamics will be. The new economic team will have to gain credibility over time”, assesses Garman.
President-elect Luiz Inácio Lula da Silva (PT) has begun to publicize the first names that will make up his ministerial team in the federal government as of January 2023.
The first announcement took place this Friday, with five names: Fernando Haddad (Finance), José Múcio Monteiro (Defense), Rui Costa (Civil Staff), Flávio Dino (Justice) and Mauro Vieira (Foreign Relations).
Regarding the PEC do Duplo, Volpon understands that the current proposal is closer to what the market assesses as “reasonable”. In addition, he also stated that Haddad will need to rebuild expectations that were impacted by the president-elect’s speeches about the fiscal anchor.
“The proposal [da PEC] today it is more within what the market finds most reasonable, compared to the original text. But I think Haddad needs to recompose expectations with the market, which was an unnecessarily lost space”, he said.
For Garman, the future minister will seek a reconciliation between public spending and fiscal responsibility.
“Now, with Haddad nominated, there must be an effort to try to anchor expectations, to try to signal the desire to reconcile more spending on one side with fiscal responsibility on the other”.
Watch the full interview in the video above.
*Published by Pedro Zanatta, from CNN Brasil Business.
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.