Haddad asks banks for support to approve credit-oriented projects

Minister Fernando Haddad, of Finance, asked for the support of the Brazilian Federation of Banks (Febraban) for projects being processed in Congress that aim to unlock credit, reduce the cost of capital and improve the business environment in the country. During a meeting in São Paulo this Friday morning (16), he highlighted the importance of these proposals, including the new bankruptcy and insurance framework, and highlighted the need for progress in the analysis of these projects.

Among these projects are also those that improve the extrajudicial liquidation of companies, reimbursement to investors, competition between financial institutions, the performance of insurance cooperatives in other branches of the sector and the definition of legal interest limits.

Haddad highlighted that some of the projects have been stopped for more than a year without a designated rapporteur, emphasizing the importance of having rapporteurs with the technical capacity to lead them. He also noted that, although some of the texts were not initiatives of the current government, the economic team took advantage of the process that was already underway.

“I think we have a path that combines the fiscal agenda with other Executive agendas to benefit a business environment more favorable to growth”, declared Haddad after the meeting.

The minister also stated that “if there is an adjustment here or there, after the rapporteur is chosen, it will be very marginal. The more we speed up the pace of improving the business environment in Brazil, the better for everyone.”

Haddad plans to discuss the relevance of the projects for the economic agenda with the presidents of the Chamber, Arthur Lira (PP-AL), and the Senate, Rodrigo Pacheco (PSD-MG), highlighting the need for these themes. He minimized the impact of the election year on the 2024 legislative agenda, stating that the election could influence the pace of voting in Congress, but should not impede the advancement of proposals.

He also emphasized that there was a consensus in society regarding the drafting of the projects and expressed confidence in their approval. He highlighted the importance of accelerating the process to improve the business environment in Brazil.

The president of Febraban, in turn, highlighted the potential of projects in progress to reduce the cost of capital and expand the supply of credit in the country. According to Isaac Sidney, there is a balance of R$5.8 trillion in credits and that these projects can help reduce financial intermediation.

“We debate initiatives that the government itself has already forwarded to the National Congress. These are bills that are being processed and that have significant potential to reduce the cost of capital and credit”, he added.