Former BC director (Central Bank) and chairman of Jive Mauá’s Board of Directors, Luiz Fernando Figueiredo considers a “crime” to pay 10% of real interest rate.
He evaluates that there is “certain stability” of assets in this high risk prize situation because there is a belief that a fiscal adjustment is inescapable in 2027.
“Even if there is no alternation of power, a fiscal adjustment is necessary. In crisis, no one can rule,” he says Capital InsightsProgram Fruit of the partnership between the CNN Money e a Broadcast.
The country collects about 40% of GDP (Gross Domestic Product), while tax exemptions correspond to something between 6% and 7% of the total of the wealth produced, compares. “It’s not hard to make adjustment in this condition. But you need to want,” says the economist.
Figueiredo points out that Brazilian debt is very high and continues to grow rapidly. “We are in tax dominance in a less mature, not yet extreme version.”
Already in monetary politics, the former BC director recalls that there was strong. Gabriel Galipolo, successor, does a very similar job, he says.
“The board’s term is technical, not political. There was giant pressure, but they put the right people on the board of BC. Galipolo is building a reputation. It didn’t understand much of monetary policy, but took a store bath while he was a director and that helped him to drive.”
Figueiredo estimates that BC can start a gradual reduction from Selic in January, but there is a chance to anticipate the movement for December.
Inflation surprises down, exchange and commodities They do not exert higher pressure, and are in the right direction.
“It is expected that the Brazilian BC slowly change the content of communication,” amendment.
In the United States, interest reduction should most likely occur this month. “The Federal Reserve has to prove independent under the Trump administration,” he adds.
