Oxford (England), November 14, 2002 (Agência Brasil - ABr) - President Fernando Henrique Cardoso explained today that the criticisms he made of the International Monetary Fund (IMF) and of the relationship that the future administration should maintain with the institution were generic. He recalled that other international economists have made the same criticisms, and he added that Luiz Inácio Lula da Silva's administration should preserve fiscal discipline, to guarantee a response to the worries of society, without running the risk of harming the country's economy.

"Fiscal discipline is necessary in specific situations. In today's world all countries need to have fiscal discipline," he affirmed.

As regards comparisons he made with Argentina, he said that the situation is very different in the two countries and that, if the future administration knows how to adapt and preserve stability, there is no risk of crisis. "Brazil is not in a situation of disorganization of the economy. In spite of the difficulties, our economy never entered technically into recession. Now that the elections, which were the cause of the doubts, are over, it is up to the new administration to show competence in responding to the worries, without running the risk of inflation." (DAS)