São Paulo, July 9, 2003 (Agência Brasil - ABr) - President Luiz Inácio Lula da Silva took in stride the beginning of a work stoppage, yesterday, by civil servants in various states, because, as he affirmed, "the right to strike is universal." In a brief interview yesterday morning, he predicted that the movement should not upset approval of the reforms. "The voting would be upset, if the Congressmen went on strike," he observed.

The President participated yesterday afternoon in the opening of the 35th Francal - Footware, Fashion Accessories, Machines and Components Fair. In his speech, the President said that he would like to have a serious talk with manufacturers of footware and remind them that the year began with the somber prospect of dealing with 40% inflation over the ensuing 12 months.

Today, he emphasized, "any member of the Administration can attend an event like this one and assert that the ogre of inflation is under control, that we are looking at an inflation rate of 7% or even less." Lula affirmed that, despite the fact that inflation is under control, Brazilo needs to grow and generate jobs and wealth. Lula also indicated that the government will not interfere with the currency market. "Neither I nor any other member of the government can decree that the dollar is worth so much, but we shall work for it to reach a stable level and offer our products on foreign markets at more competitive prices," he said. (DAS)