Luiza Trajano to BC: “There will be a lot of broken people” – 06/12/2023 – Market

Businesswoman Luiza Helena Trajano, from Magazine Luiza, asked the president of the Central Bank, Roberto Campos Neto, for a sign that interest rates will drop.

The request was made during an event at the IDV (Institute for Retail Development), which also included the participation of leaders from companies such as Zara, Raia Drogasil and Arcos Dourados (McDonald’s franchise).

Campos Neto told businessmen that future interest rates in Brazil have had a significant drop, opening space for a cut in the Selic, the basic interest rate, but he did not detail when the reduction could occur.

“Our reality is different, retail pulls everything, industry, production. We are having an excess of product, industries have nowhere to put it, this bitter medicine has not always solved inflation. We have already had a lot of bitter medicine, if I am defending is for small and medium-sized enterprises. I would like to ask you, please, to give a thumbs up [que vai] lower these interest rates,” said Trajano.

The businesswoman reinforced that she understood the BC president’s explanations, but said that the Brazilians’ patience was running out.

“It’s one thing, inside a room, for us to think technically, I think it’s very good, but another thing is reality. Without a signal, we won’t be able to stand it, how many stores here have already been closed? I wanted to ask you, on behalf of Brazilians, to give a signal — and it’s not 0.25 point, we need more.”

Campos Neto replied that he should return to the event in a year and that he is sure that the variation, looking back, will be positive.

“There’s going to be a lot of broken people already”, Trajano replied.