Net Fields He was appointed by Bolsonaro to the Central Bank in 2021 and has a mandate until 2024 under the new law on the independence of the monetary authority. This means that the president will not be able to dispose of monetary policy and will depend on the financial institution.
The Government will review the inflation target
This is for next Thursday, when the first meeting of the National Monetary Council, between Haddad, Tebet and Campos Neto. There you can check the inflation targetalthough the head of the Central made it clear that his position is to avoid altering his roadmap for the economy of the Lula government.
Lula took office on January 1st and understands that this interest rate it is exaggerated and boycotts government growth, since it restricts credit, makes money more expensive and benefits speculation over productive investment.
The president criticized Campos Neto last week for having maintained the interest rate at 13.75% per year, an act that he described as a “shame” in favor of “rentism”, for which he mobilized the Minister of Economy, Fernando Haddad , and the Minister of Planning, Simone Tebet, to raise the current inflation target, which is at 3.25% per year.
A bolsonarista who tries to appear moderate
The president of the Brazilian Central said that he is willing to talk with Lula and with the National Congress about the interest rate. “It is important to recognize the legitimacy of the election of President Lula in a democratic way; the Central Bank is a State institution and needs to always work with the government,” he stressed. And he recalled that in 2022 he raised the interest rate regardless of the fact that this could harm the Bolsonaro government.
But Campos Neto admitted that he is friends with various members of Bolsonaro’s cabinet and that he participates in a WhatsApp group coordinated by former chief of staff Ciro Nogueira. “I made many friends, I am close to many officials of that government and I hope to have good relations with this government,” he said, adding that he passed technical information to the WhatsApp group of the former president’s ministers.
He noted, on the other hand, that “This autonomy of the Central Bank is new”. “I was appointed by a previous government and I am also learning. I hope to talk with all the governments,” said Campos Neto, who ruled out any political career and anticipated that when he leaves public office he will return to the “financial market.”
The bank union and the block of representatives of the PT launched a campaign in search of the resignation of Campos Neto from the Central Bank, maintaining that the independence by law of the monetary authority goes against growth and in favor of speculative capital with the rise in the cups.
Source: Ambito
