Dear ,
At the time of his departure from BC, I wrote to him —confidentially!— to thank him and apologize. Thank you for articulating the unanimous vote on Selic, a generous gesture that was not your obligation. I apologize for the insults I uttered, following the script of a performance intended for the consumption of the left-wing militant base.
I classified the increase in the Selic rate to 12.25% as “irresponsible, insane and disastrous”, attributing the Copom’s decision to you. Not so, of course. All directors nominated by voted in favor, including Galípolo, the next president of the BC. I know well that the increase above market expectations protects Galípolo, offering him the alibi of consistency to promote the next, inevitable increases in the Selic. The heaviest political burden fell on your shoulders, smoothing the transition path. Thanks.
I went further. I described your presidency as a “nefarious trajectory responsible for the criminal sabotage of the country’s economy”, with the aim of encouraging “fiscal terrorism”. My statements conclude the long campaign of demonization led by the government and the . At the beginning, we reached the point, via white-collar journalists, of describing the BC as the nucleus of a “deep state” that would operate in the service of Faria Lima’s interests. Sorry.
This message is ultimately intended to protect my reputation with you. I do not suffer from intellectual atrophy. I know that the BC’s autonomy is written into law, that the BC is accountable to Congress and fulfills its legal mission of pursuing the inflation target. Therefore, no “deep state”.
Faria Lima, I am aware, is an avenue. Like so many, I use the metaphor demagogically, to suggest that the market would be a centralized political entity engaged in combating the government. But don’t be fooled. I know that, in fact, there are countless competing operators. They want to make money, not play politics.
I know more. Finance is globalized. If Brazilian agents (the “Faria Lima”) decided to buy dollars with the evil intention of sabotaging the government, foreign investors would buy cheap Brazilian assets, contributing resources and increasing the price of the real. It’s the ABC of the economy.
However, put yourself in my position. I need to nourish my base, which believes in our economic discourse. We have always shouted that “spending is life” — in other words, that the engine of growth is public spending. It is a dogma: our identity card. This is what moves me to gently criticize even Haddad’s timid fiscal package. Therefore, I need to exempt the government from responsibility for the fiscal restrictions, attributing them to the “Faria Lima” conspiracy.
I have 86 million neurons, not just the tico and theco. Haddad exists to avoid a repeat of the Dilmista tragedy. We hinder his action — but only to a certain extent. We also face the revolt of the nobles of the Judiciary and Congress, entrenched in their castles of privilege. Life is hard.
I will miss you. We will no longer have a personified scapegoat. When the Selic exceeds the magic rate of 13.75%, I will not be able to insult my colleague Galípolo. It will just be “Faria Lima”, a faceless target. Miss you already.
To. , pessoa privada.
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