Daniel Mello        Reporter Agência Brasil

São Paulo – The National Confederation of Store Managers (“Confederação Nacional de Dirigentes Lojistas – CNDL”) called the decision to slash the country’s basic interest rate, the Selic, by 0.75 percentage points, from 10.5% to 9.75%, “…very positive, hopefully a first step on the way to sound fiscal policy that will result in more vigorous and long lasting economic growth.” The CNDL president, Roque Pellizzaro Junior, added that the government had to spend more on infrastructure to reduce the gap between supply and demand in order to bring down inflationary pressures.

Meanwhile, the president of the São Paulo manufacturers federation (“Fiesp”), Paulo Skaf, called the Selic cut “welcome, although late… and by itself insufficient impulsion for the Brazilian economy.” Skaf called for more coordinated measures on the exchange rate, interest rates, energy costs and infrastructure in order to recover industrial competitivity. “We must stop exporting jobs,” he declared.

Finally, the president of the Força Sindical labor union, Paulo Pereira da Silva, called the lastest Selic reduction insufficient. “There could have been more boldness in order to bring benefits to the productive sector, create jobs and income. We have been waiting a very long time for expressive growth in the Brazilian economy. But what we see is this absurd continuation of Central Bank technocrats conforming,” he declared.

Allen Bennett – translator/editor The News in English

Link - Dirigentes lojistas consideram positiva redução dos juros

Link - Fiesp diz que redução dos juros é bem-vinda, mas está atrasada

Link - Força Sindical diz que queda nos juros é insuficiente