Lula promises to respect BC autonomy and says he is attentive to new fiscal measures

The president Luiz Inácio Lula da Silva (PT) released, through social media, a video in which he appears alongside the future president of the Central Bank (BC), Gabriel Galípoloand ministers Fernando Haddad (Finance), Simone Tebet (Planning and Budget) and Rui Costa (Civil House), and undertakes to respect the “autonomy” of the monetary authority.

Galípolo, current director of Monetary Policy at the BC, was appointed by Lula to succeed the current president of the authority, Roberto Campos Neto, with whom the PT member had a series of public disagreements in his first two years in office.

Campos Neto will be in charge of the BC until December 31st. Galípolo takes over on January 1st.

“We remain more convinced than ever that economic stability and the fight against inflation are the most important things to protect the salaries and purchasing power of Brazilian families,” says Lula in the recording.

“We took the necessary measures to protect the new fiscal rule and will remain attentive to the need for new measures”, continues the president.

“Brazil is guided by strong and independent institutions that work in harmony to move forward responsibly”, states Lula, in a clear attempt to “calm down” the financial market.

Addressing Galípolo, the president states: “I want you to know that you are here because of a relationship of trust from me and the entire government team.”

Then, Lula predicts: “You (Gallipolo) will certainly be the most important BC president this country has ever had. You will be the president of the BC with the most autonomy this country has ever had. You will teach a lesson on how to govern the BC with true autonomy.”

Lula ends the recording by assuring that he will not interfere in the BC’s decisions.

“There will never be any interference from the Presidency in the work you have to do at BC”, he concludes.