This Friday (9) holds great expectations.
Apart from the quarterfinals between Brazil and Croatia, in the World Cup, the date holds an important chapter for the country’s economy and politics. As anticipated yesterday, the elected government of Luiz Inácio Lula da Silva (PT) should start announcing some of its ministers — and PT Fernando Haddad, former mayor of São Paulo, should be appointed to the Treasury.
The choice, according to analysts consulted, has to do with the fact that it is a media ministry, ideal to launch a possible successor to Lula, who, at the age of 77, says he does not intend to run for re-election in 2026. Haddad is practically taken for granted, although doubts hover in the second echelon of the economy, such as who will be at the head of the National Treasury, Federal Revenue, BNDES, Caixa Econômica, Banco do Brasil, in addition to the names for Planning and Industry and Commerce, which should not be indicated today.
Economists believe that Haddad had good fiscal management in the City of São Paulo and, therefore, do not expect the PT member to completely ignore the sustainability of public accounts. There are risks, however, of a larger State, with increased taxation to meet the intended expenses with the PEC and other structural changes.
With a more spending government, Luis Stuhlberger, manager of Fundo Verde, summarizes well what the market thinks: Brazil can return to the model in which the federal government accelerates, and the Central Bank breaks.
In addition to the ministries, uncertainties about the PEC hang in the air. The expectation is of greater resistance in the House due to pressure from the Federal Supreme Court (STF) on the secret budget. Omar Nascimento (União Brasil), may be the rapporteur and reduce the deadline for the text to one year, in addition to eliminating trinkets that risk delaying the processing of the proposal.
In this Friday’s episode, CNN Money brings you what to expect from the likely new Minister of Finance, and what the Lula government’s economy may have in store for the future.
Presented by Thais Heredia and Priscila Yazbek, the CNN Money it presents a balance of the news subjects that influence markets, finances and the direction of society and the dynamics of power in Brazil and in the world.
*Posted by Tamara Nassif
Source: CNN Brasil
I’m James Harper, a highly experienced and accomplished news writer for World Stock Market. I have been writing in the Politics section of the website for over five years, providing readers with up-to-date and insightful information about current events in politics. My work is widely read and respected by many industry professionals as well as laymen.
