2024-08-20 16:45:35
(Reuters) – The executive secretary of the Ministry of Finance, Dario Durigan, said this Tuesday that the government of President Luiz Inácio Lula da Silva has all the conditions to achieve the goal of zero primary deficit this year if allowed the National Congress the compensation for payroll tax relief for sectors of the economy and the Federal Supreme Court (STF) confirms the agreement on this matter.
At the event of the Macro Day of the BTG Agreement bank (BVMF:), Durigan declared that the government will adhere to the fiscal framework approved by the Legislature and promised that the economic team led by the Minister of Finance, Fernando Haddad , compromise on. fiscal balance.
“If the compensation is approved in the Senate and the House and the agreement is taken to the Supreme Court by September 11, which is the deadline that has been set, we are fully capable of reaching the goal this year,” said Durigan .
“The whole intention, the work of the economic team of the government is to achieve this year’s goal, to approve the sectoral compensation agreement and to provide peace of mind to the fiscal authorities. This is our flight plan, we are not going to change. “
The secretary also said that the spending review agenda is progressing within the government and he highlighted that, contrary to what happened last year, there is now “expectation” among financial agents that the primary deficit target reach in 2024. .
Durigan said the government will announce new measures to increase revenue when the budget for 2025 is presented next week and warned that in order to approve them in Congress, it will be necessary to show a commitment to maintain spending.
“We have to present the 2025 budget by next week, new revenue measures will come, in quantity, with a lower intensity than what we presented last year, and it will be necessary to put this in context with the current political situation”, which said the secretary. .
“In order for us to approve the new revenue measures, we must also continue to discuss spending measures so that we can show that there is a collective effort from the country.”
Also present at the event, the executive secretary of the Ministry of Planning, Gustavo Guimarães, said that the government has “the necessary instruments” to meet the goal set out in the fiscal framework approved by the National Congress and will continue to work. in this direction.
“We must comply with the law. The law is given, the goal is the law. You are raising a discussion on a change to the goal, which is a legal discussion, which would go through the Legislature. This is not the hypothesis on. basic hypothesis”, he said.
“The important message is: we have instruments, we have ways to reach the goal and we will do everything possible to reach this year’s goal.”
STATE DEBT
During the panel in which he took part, Durigan was also asked about the discussion currently taking place in Congress regarding the debts of the States to the Union.
“The best way to reduce the debts of the States is for the States to pay their debts,” he said.
The secretary insisted that it is necessary to avoid the debts of the federal entities, as well as to postpone or not pay court decisions.
“The role of Minister Fernando Haddad in the discussion with the Congress is to find a path that makes, first of all, the payment viable. We need these states that do not pay to start paying the debt . And secondly, we have to avoid the two main effects – – which he doesn’t have – as far as nominal – and that’s what he can really have with the reduction in interest rates”, he said .
“We need to restart this federal agreement and start getting payments from the States.”
(By Fernando Cardoso and Eduardo Simões)
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