Haddad presented the general outline of the new fiscal framework, VP Alckmin criticized the high interest rate in the country, and a reduction in the payroll loan interest rates had the opposite effect

BRAZIL POLITICS - Report 21 Mar 2023 by Murillo de Aragão and Cristiano Noronha

Haddad said he fulfilled the presentation schedule for the leaders of the House and Senate, in addition to the presidents of both houses. Both Pacheco and Arthur Lira have reportedly welcomed the proposal. Vice President Geraldo Alckmin said that an interest rate of 8% above inflation hampers consumption, delays investments, and burdens the tax authorities. He said he believes it is common sense that "we are going to have a reduction in the interest rate." It was agreed that the interest on payroll loans for retirees and pensioners would be reduced from 2.14% per month to the 1.70% announced last week by the Ministry of Labor and Pension. However, instead of encouraging the granting of credit, banks suspended loans for pensioners.

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