Preservation of natural and environmental resources will be remunerated, says Guedes

After participating in the meeting of the International Monetary Fund (IMF) in the United States, this Tuesday (11), the Minister of Economy, Paulo Guedes, said, in an interview with the press there, that he is creating, alongside Indonesia and India , a “three pillar system for the environmental economy of the future”.

According to the minister, they would be “taxing pollution, stimulating innovation, but most importantly for Brazil, India and Indonesia, rewarding the preservation of natural resources”.

The basis of this agreement comes from the Green CPR (Rural Producer Card) mechanism, created by Brazil to encourage compliance with environmental preservation laws, and that now, “all preservation of natural and environmental resources will be remunerated”.

“Brazilian environmental legislation was already quite strong, but it still didn’t have the economic incentives. Now you pay for those who are conserving natural resources, increasing the profitability of their own unit. So we exchanged experiences on that”, the minister reported on the conversations with Indonesia and India.

“Out of an estimated flow of US$ 100 billion/year, Brazil may receive some US$ 17.5 billion as compensation for the preservation of natural forests. Because it is a country that has preserved 66% of its native forest. It is the country that has best preserved its natural resources to date. It is the country that has the most diversified and cleanest energy matrix in the world.”

According to Guedes, the mechanism is part of “a series of tools and instruments” for financing sustainable agriculture, one of the priorities of the ministry. “First, it stimulates production. Second, it ensures that the most vulnerable have access to food. It may be more expensive, it may have gone up with transport, but we have reduced taxes and increased income transfers. And third, the use of technologies to create sustainable agriculture. We are making a whole adjustment,” he said.

IMF

Economy Minister Paulo Guedes argued that Brazil has undergone a structural change in the economy and that the current model is focused on private investment. The speech was made to CNN after Guedes spoke during a meeting of the International Monetary Fund (IMF), in Washington, this Tuesday (11).

The minister also strongly criticized the fund’s work in drawing up a panorama focused on the retraction of the global economy, noting that Brazil would be “out of tune”, with positive projections for activity and inflation.