For the chief economist at Banco Inter, Rafaela Vitória, the commitment to controlled and responsible spending is a condition for the government to be able to invest in social policies and improve the population’s quality of life.
“It is important to understand that fiscal responsibility is not against social responsibility, the two must go together”, said Vitória, in an interview with CNN when commenting on the negative reaction of the markets, this Thursday (10th), after a speech by President-elect Luiz Inácio Lula da Silva criticizing fiscal austerity policies.
“There is no way to carry out efficient income transfer programs if inflation is not controlled. If public accounts get out of control, the expectation is for higher inflation, and this leads to higher interest rates and low growth,” he explained.
“So there is no way to think about fiscal responsibility without thinking about the fiscal with predictability and credibility.”
The stock exchange ended the day down 3.35%, the biggest daily retraction since September 2021, and the dollar returned to R$ 5.40, after Lula’s speech, in the morning, had repercussions on the markets. .
The PT member questioned the concentration of the economic debate around issues such as fiscal stability and stated that there are government expenditures that need to be seen as investment.
“Why are people made to suffer because of ensuring such fiscal stability in this country? Why do people all the time say that it is necessary to cut expenses? Do you need to make surpluses? Do you need to set spending caps? Why don’t the same people who seriously discuss the spending cap not discuss the country’s social issue?”, asked Lula.
Source: CNN Brasil
Joe Jameson, a technology journalist with over 2 years of experience, writes for top online news websites. Specializing in the field of technology, Joe provides insights into the latest advancements in the industry. Currently, he contributes to covering the world stock market.
