NEWS IN ENGLISH – This year Brazil needs to consolidate the gains of its new middle class, says Carvalho

26/04/2011 09:59

Luciana Lima and Ivanir Brotot Reporters Agência Brasil


Brasília – In an exclusive Agência Brasil interview, one of the president’s top aides, Gilberto Carvalho (“Secretaria-Geral da Presidência da República”), declared that the challenge this year is for Brazil to continue growing, but to do so at a more “modest” rate and consolidate the new middle class. “We know this so-called new middle class is a little controversial. They are people with new jobs, in a position that is not consolidated, so we have to work to keep the model operating,” he declared. Carvalho admitted he is not responsible for making economic policy or explaining it, but that he did have to present governmental lines of action to social movements. “Now it is a fact that not all social movements agree with our policies,” the minister said, “but our position is that without putting the brakes on at this moment, many people stand to lose the gains of the past few years.”


Carvalho explained that the “brake” was very much in the center of the debate on the minimum wage [the government insisted on, and got, an increase of less than 7%] “It was a brake to allow us to get our act together (“freio de arrumação”) and it was important not to permit a larger increase at this moment,” said the minister, as he pointed out that for next year, according to the rules of salary minimum increases, the adjustment could be 12%. “That will be a very pretty increase, but we must have fiscal responsibility,” said the minister.


Carvalho went on to declare that the government’s number one battle was to keep inflation under control. The second priority was jobs. “Jobs of quality and income distribution,” said Carvalho. “We need to maintain this atmosphere of growth, of expansion, intact. That is why we are being very prudent at this time. We are not looking for growth that is spectacular. Our aim is growth of 4% to 5% for the near future. In my opinion, that seems to be quite adequate, although I am not an economist or the minister of Finance,” he declared.


Allen Bennett – translator/editor The News in English

Link - Governo se preocupa em consolidar classe média, diz Gilberto Carvalho