Opposition criticizes “Lula’s intervention in Argentina’s elections”

The news published by the newspaper The state of Sao Paulo that President Luiz Inácio Lula da Silva (PT) had personally acted to facilitate a US$1 billion loan from the Andean Development Corporation (CAF) to Argentina in August, in order to facilitate the renegotiation of its debt with the Monetary Fund International (IMF), provoked a strong and immediate reaction from opposition parliamentarians.

After the government’s denial of interference in the neighboring country’s politics, the opposition wants to investigate what actually happened. The Argentine elections take place on the 22nd, and polls point to a possible victory for the libertarian candidate Javier Milei, who also positions himself as an opponent of Lula.

Federal deputy Gustavo Gayer (PL-GO) filed this Wednesday (4) a request for an investigation with the Federal Public Ministry to determine whether Lula used Brazilian public money to indirectly finance the Argentine electoral campaign. In addition to him, several parliamentarians expressed indignation with the facts reported in the report.

“Lula’s action is another one that uses the money of the Brazilian people and especially the poorest, who pay taxes in this country in greater proportion than the richest to finance political projects of their preference in America. It is undue interference in the process electoral campaign in Argentina using the money of the Brazilian people”, said deputy Marcel Van Hatten (Novo-RS)

According to the Estadão report, the planning minister, Simone Tebet, received a call from Lula, requesting her support for the Argentine loan request, as she represents Brazil at CAF, also called the Development Bank of Latin America. .

Tebet’s press office denied that the phone call took place, but his ministry did vote in favor of Argentina in the CAF. The Ministry of Planning said the favorable vote was a normal operation.

But the report from State of S.Paulo he also says that Lula would have influenced other member countries of the bank to approve the financing. A People’s Gazette was unable to confirm the information with independent sources.

In total, there were 19 votes in favor and two against the loan. The money from the loan was sent to the International Monetary Fund to pay for the rollover of Argentina’s debt, which provided a new contribution from the fund of US$7.5 billion. Afterwards, Argentina paid off the loan with CAF.

Senator Rogério Marinho filed a request for Minister Tebet to be heard in the Senate’s Economic Affairs Committee. The text of the document says that the self-determination of people and non-intervention are constitutional principles that govern Brazil’s international relations. “Therefore, the possibility of interference in the electoral process of another country is a topic that deserves explanation to this commission and this Parliament”, says the request.

Representative Júlia Zanatta (PL-SC) informed that she is articulating a similar request with the members of the Chamber’s Inspection and Control Commission (CFFC). She says she understands that “shameful evidence” is already beginning to emerge about “Lula’s intervention plan in the Argentine election” to block Milei’s advance.

The effort to guarantee a loan from the multilateral bank to Argentina joins the PT member’s many public actions motivated by his desire to help the neighboring country and, indirectly, benefit the government candidate and Minister of Economy, Sergio Massa, in the presidential race.

Lula has already made requests for financial assistance to the Argentine government from the National Bank for Economic and Social Development (BNDES), the Brics Bank and even the IMF itself, at different times and at national and international levels.

For deputy Nikolas Ferreira (PL-MG), these actions make it clear that Lula is interfering in Argentina’s election to harm Milei. “Relative democracy in full swing”, he provoked. “This is the São Paulo Forum, an international gang”, accused deputy Eduardo Bolsonaro (PL-SP).

The São Paulo Forum was founded by Cuban dictator Fidel Castro (1926-2016) in partnership with President Luiz Inácio Lula da Silva in the 1990s, shortly after the collapse of the Soviet Union. The organization’s official objective is to integrate the people of Latin America and the Caribbean, but in practice it functions as a brotherhood of government officials, politicians and activist organizations in the name of a left-wing political project for the subcontinent.

The president of the CFFC, deputy Bia Kicis (PL-DF), listed questions surrounding Lula’s gesture of committing to financially help the friendly government of a neighboring country. “Is it democratic for the president of Brazil to use his country’s force with a bank to interfere in Argentina’s elections? Is it not an affront to the sovereignty and self-determination of the people? She also promised to represent as a parliamentarian before the competent bodies to evaluate the conduct of the Chief Executive.

In the Senate, the news also generated protests and promises of action to seek clarification. Senator Sérgio Moro (União Brasil-PR) expressed his concern that Lula is trying to help Argentina maintain a political group that has severely damaged the economy and social fabric of the neighboring country. Moro stated that even if Argentina gets some relief in the short term, it will not change the “disastrous economic management of left-wing populism.”

Luiz Carlos Heinze (PP-RS), in turn, condemned the actions, stating that Lula does not distinguish boundaries between the State and the party. “Brazil can no longer tolerate such abuses from PT members,” he said, arguing that these attitudes strengthen arguments for the president’s impeachment. “The Brazilian left is desperate. The game is changing in Argentina, soon it will change here too”, provoked senator Flávio Bolsonaro on his account on the social network X (formerly Twitter).

The favorite opposition candidate in the polls, Milei, reacted to this news, labeling the Brazilian president as a “nervous communist” and accusing him of directly attacking his candidacy. “The red caste trembles. Freedom advances!”, he wrote on the X platform.

Candidate Massa negotiated relief alternatives with Haddad

In any case, in addition to Lula’s speeches in favor of less severe treatment by the IMF towards Argentina and his appeals for other multilateral organizations to relax their rules to provide assistance to Alberto Fernández’s government, Massa himself met with Finance Minister Fernando Haddad on August 28 to discuss ways to alleviate foreign exchange shortages in Mercosur’s second largest economy. Among them, the possibility of using Chinese currency in bilateral commercial transactions instead of the dollar was discussed.

Argentina is facing a very serious recession and annual inflation exceeding 120%, which is reflected in the social, political context and, above all, in the electoral scenario. While Lula defends the strengthening of Mercosur, Milei promises to remove Argentina from the bloc. These geopolitical developments have implications for both Brazilian domestic politics and the stability of the region, something that concerns Lula deeply.