Tebet says that GDP is good news and demands ‘gesture’ from BC on interest rate – 03/02/2023 – Market

The Minister of Planning, Simone Tebet, considered the result of the Gross Domestic Product released this Thursday (2nd) to be positive and added that she now expects a gesture from the Copom (Monetary Policy Committee) on the interest rate.

The IBGE (Brazilian Institute of Statistical Geography) announced that the Brazilian economy closed the year 2022 with accumulated growth of 2.9%.

However, in the fourth quarter of last year, GDP was negative after five consecutive advances. There was a decrease of 0.2% in relation to the immediately previous three months, indicating a scenario of economic deceleration.

Tebet used the GDP result to continue putting pressure on the Central Bank and the Copom, so that there is a reduction in the interest rate at the next committee meeting, on the 21st and 22nd.

“I think the news was good,” said the minister upon arriving at the Planalto Palace, for the launch ceremony of the new Bolsa Família program.

Tebet then stated that there is a positive situation, for the Copom to decide to reduce the interest rate, which presents “a positive gesture in favor of Brazil”.

“It is a sum to show that we are doing our homework with the GDP, despite being from last year, it proved to be positive to the point that we can be in a dialogue with the Central Bank and the Copom, showing that inflation is not on demand , we had growth above expectations and we are doing our homework”, said the minister.

“Consequently, a gesture is possible, we do not want any generosity, but a positive gesture in favor of Brazil at the next Copom meeting”, he added.

The new speeches took place one day after the minister had already charged the Central Bank, pressing for the reduction of interest rates. Tebet commented on the government’s decision to re-tax fuel, arguing that the government is “doing its homework”.

The reenactment, announced the day before by Fernando Haddad and Alexandre Silveira (Minas e Energia), comes eight months after the rates were zeroed by former president Jair Bolsonaro (PL) in an attempt to bring down the price at the pumps on the eve of the 2022 election. .

“We are now focused on cost containment. This is what we want to show the Copom and the Central Bank. They can, even if gradually, lower interest rates, we have fiscal responsibility and we are doing our homework,” he said to journalists on Wednesday. (1st), after breakfast at the Planalto Palace with female ministers and the first lady, Rosângela da Silva, Janja, on the occasion of the beginning of women’s month.

The issue of interest rates had already been the reason for government attacks on the Central Bank, starting directly from Luiz Inácio Lula da Silva. The representative even launched several direct criticisms of the president of the institution, Roberto Campos Neto.