Finance Minister Fernando Haddad said Brazil has a chronic deficit in public accounts since 2014 and that the superficial idea of taking the locks out of spending and everything will improve it doesn’t work. “It all depends on the circumstance you are dealing with,” he said during an interview with Podcast 3 Brothers.
Haddad also talked about the 6×1 scale and said people are living more, but people need to live better. “Everything leads me to believe that a balance between these things will require us to work more time throughout life, but less days a week, to enjoy life better,” the minister explained.
“Work cannot consume people as it consumes today,” he said, noting that he has put a bill in Congress for the first time “that charges upstairs to release money to the bottom.” “Up to $ 5,000 does not pay income tax, the richest 140,000 who pay nothing, will pay 10%. For some people, this will mean a 14th salary,” he said.
Rare land
The minister said that Brazilian natural assets, such as critical minerals and rare lands, can be “bases of partnerships” with foreign capital. He also reinforced the defense of the current government towards the development of the industrial chain of these sectors in Brazil.
The folder of Minas and Energy, for example, has beaten on the key that the simple extraction and export of minerals is not the central objective of the policy being elaborated. The perspective is to attract “sustainable investments” to the development of the mineral sector.
As Broadcast In July this year, there is the proposal of “debentures for mineral transformation”. By drawing, it will be eligible for the issuance of debentures, with tax benefits, the mineral transformation projects that result in the production of substances such as lithium carbonate, cobalt sulfate or copper sheet, for example. Other proposals are under study.
On another front, the government recently launched the. Haddad recalled that more than 60% of Brazilian data are being processed abroad. “I think we are important to process our data here,” he said.
Inflation
Haddad explained that the continuous goal model for inflation is yet to be assimilated. “Who fixed this goal was the previous government and we chose to make a change that is still being assimilated, which is the so -called continuous goal,” the minister said during an interview with Podcast 3 Irmãos.
The minister also explained that this model makes it not to have the calendar year’s goal. “I am not saying that by 2025 the goal needs to be 3%, I am not saying that in 2026 it needs to be 3%. I am saying that the Central Bank needs a goal and needs to reach it without a calendar year as ties,” he said.
He also talked about Drex, the Brazilian digital currency, and recalled that there is no control over the currency, but transparency. “Talking about transparency in Brazil everyone associates control. You can control, but that’s not what Drex serves,” he said, saying the BC had to stop his innovation agenda to contain hackers attacks on Pix.
