Governor of MS says the State cannot “command” the economy

The governor of Mato Grosso do Sul, Eduardo Riedel, stated that the role of the State is not to “command the economy”, but to create the conditions for private investment to take place.

At an XP event in São Paulo, he defended a public management model centered on institutional articulation, predictability and fiscal responsibility, without increasing tax pressure on the productive sector.

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“A lot of time has passed from that idea of ​​’I am the government and here we command’. No. We are managers of very clear, very objective functions, and we have to bring together different stakeholders with good investment opportunities”, said Riedel, when explaining his vision on the role of public authorities.

According to him, this logic only works if there is harmony between the Executive, Legislative, Judiciary and control bodies. “Gathering the conditions to have institutional harmony for this to happen is perhaps our greatest role as political agents in this story,” he stated.

In the fiscal area, the governor made a point of differentiating his strategy from the increase in the tax burden. He said that the State maintained the adjustment of public accounts without transferring the cost to the productive sector. “We will not give up fiscal balance at any time. We will not put pressure on the private sector with taxation and, at the same time, guarantee the State’s investment capacity”, he declared.

Riedel argued that this model creates a positive cycle: greater market confidence, more investments and, as a consequence, better economic and social results. “When everyone sees the result and it is beneficial for politics itself, politics benefits from that,” he stated.

For him, the challenge for politicians today is to get out of the logic of protagonism and assume the role of articulator. “Our role is to create this environment of trust and good projects for the State, for the benefit of society”, he concluded.