The president of the Brazilian Federation of Banks (Febraban), Isaac Sidney, stated this Friday (15) that Brazil has a fiscal trajectory that is not “sustainable”. “But this is not a criticism of the government, it is a problem for the country”, he said at a Lide event in Lisbon, Portugal.
“The economic team has been advocating placing more expenses within the fiscal framework,” he stated. Sidney assesses that it is necessary to make further cuts in mandatory spending and reduce earmarking and indexation of the public budget.
The president of Febraban also highlighted the resilience of the Brazilian banking sector and cited three milestones: the creation of the Real plan in 1994, the global economic crisis of 2008 and the 2020 pandemic, which showed the sector’s ability to remain unscathed, boost economy and also prepare for innovations.
He stressed that Brazilian banks are recognized for being at the forefront of innovation and mentioned the investment of R$50 billion in technology in 2024. For him, PIX reflects this pioneering spirit and open finance, Drex and tokenization will lead the sector to another level.
