Lula defends fiscal responsibility and the role of the state in the economy to entrepreneurs in Sao Paulo

Brazilian President Luiz Inácio Lula da Silva, candidate for re-election for the Workers' Party (PT), defended fiscal responsibility and the role of the State in the economy speaking today in Sao Paulo in front of entrepreneurs and professionals gathered by Grupo Esfera.

“We have found the path to bring Brazil back to fiscal responsibility,” Lula said, arguing that “fiscal stability is a mandatory thing, it is not even a government competence.” According to the president, the country went from a 2.8% deficit to an expected outcome of a 0.1% surplus this year.

Lula linked balancing the accounts to the protection of the poorest groups. “The more unbalanced the accounts are, the more the poor people will pay the price,” he said, adding that economic stability “is our obligation” to govern for the benefit of all.

On oil, the president defended the measures taken to contain the impact of the international increase on consumers.

"We have already invested 47 billion reais to prevent the price of petrol from rising," he said.

Criticizing the functioning of regulatory agencies, Lula stated: "If the agency is regulatory, the one who defines public policy is the Brazilian state. That is why we are elected."

Before Lula, the vice president Geraldo Alckmin, the president of the BNDES Aloizio Mercadante and the executive secretary of the Ministry of Finance, Dario Durigan, spoke, outlining the government's economic priorities on investments, tax reform, public accounts and structural reduction of interest rates.