Luciene Cruz and Wellton Máximo Reporters Agência Brasil
Brasília – The government has announced cuts in its 2012 budget (“Orçamento Geral da União de 2012”) of R$35 billion in discretionary spending, plus R$20 billion in mandatory spending (“despesas obrigatórias”).
According to the minister of Finance, Guido Mantega, the cuts will not reduce growth. “We want to boost growth. We seek vigorous growth in 2012 and the following years. In spite of difficulties around the world, with various countries slowing down, including some emerging nations, Brazil has the ability to grow faster. The budget we are implanting will make vigorous growth in Brazil possible,” declared the minister.
Mantega went on to say that projected GDP growth of 4.5% was “very satisfactory” for Brazil. “This is a growth rate that will give job creation in the formal job market a strong impulse. We want strong job creation so young people will have more opportunities to get a job.”
The minister concluded by saying that the priority in the new budget was government spending (“investimentos”). “Higher public spending is the locomotive of Brazilian growth. An increase in public spending will foment higher levels of private spending,” said Mantega.
Allen Bennett – translator/editor The News in English
Link - Apesar dos cortes no Orçamento, governo mantém previsão de crescimento do PIB em 2012
