Brasília, September 4, 2003 (Agência Brasil - ABr) - President Luiz Inácio Lula da Silva criticized today a document presented by union leaders who are members of the Economic and Social Development Council, in which they call for a drastic reduction in interest rates. The President questioned the use of the term "drastic" and suggested: "Why not, simply, a reduction in the rates?"

Lula, who participated in the meeting of the Council in the Planalto Palace, affirmed that a drop in interest rates will occur, "but not in this manner." And he said that he is happy that the tax reform proposal was approved by the Chamber of Deputies in the first round of voting. He commended the legislators "for the grandness that society expected," and he emphasized that discussions are part of the democratic process and that he never expected unanimity over the reform. "I expected a clash of ideas," he affirmed, adding that "the legislators were exemplary, and the governors were very important."

The President also praised the negotiating skills of the Chief of the Presidential Civilian Advisory Staff, Minister José Dirceu, and of the Minister of Finance, Antônio Palocci. And he recalled that his Administration "thinks first of doing what is necessary, then what is possible, and, finally, what is impossible." (DAS)