Brazil Won’t Raise Taxes, Promises Minister

Brazil’s Minister of Finance, Antonio Palocci, said that the government will pursue the commitment of not raising taxes higher than 2002 rates and will maintain a primary surplus equivalent to 4.25% of the Gross Domestic Product (GDP) in 2005.

During a press conference, the Minister said that the decision not to renew the arrangement with the IMF “does not mean abandoning the microeconomic reform agenda and the fiscal measures to control inflation and to stimulate external commerce.”


Palocci recalled that in order to reduce the tax burden, 21 important measures were taken last year, in the areas of real capital, long-term savings, and consumer goods prices.


He mentioned that the numbers are “the best in 20 years. We had the highest economic growth in the last 10 years. In addition, industrial production in 2004 was the highest in 18 years.”


The objective of the Brazilian policy, he added, is to keep reducing public debt, as has been occurring in the past months, with an increase in government savings and the implementation of social and structural measures.


According to the Minister, Brazil will pursue sustained growth with the positive evolution of the companies and the balance of external accounts. “The valorization of workers and the increase of family income are also a priority.”


Palocci said that the pilot project for infrastructure investments is not linked to possible arrangements with the IMF: “We have said that such projects can help to strengthen countries’ fiscal balances in the medium and long terms.”


ABr

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Brazil’s Presidential Candidate Accuses Lula of Doing Charity to Neighbors

Authorities from the Brazil’s neighboring country of Paraguay downplayed statements made by the Brazilian ...

Brazil Resumes Beef Exports to US

This week Brazil began exporting industrialized beef to the US once again. Exports were ...

Brazil Denies Any Shady Deal with Portugal Telecom

Brazil’s Presidential Press Secretary’s Office issued a note, yesterday, August 2, stating that “at ...

Brazil’s Elections and the Power of the Status Quo

Brazil’s presidential election campaign, already marked by tragedy, continues with high drama after the ...

Brazil Does the Chic Thing and Lends the IMF US$ 10 Billion

The Brazilian government is prepared to support the International Monetary Fund, IMF, with US$ ...

U.S. Control Over Internet Has to End, Says ECLAC, in Brazil

According to the secretary of the United Nations Economic Commission on Latin America and ...

Deputy Calls for Banning Monsanto and GM Seeds from Brazil

The presence of transgenic corn seeds in municipalities in the state of Rio Grande ...

Brazilian-Arab Trade to Exceed US$ 10 Billion

The president of the Arab Brazilian Chamber of Commerce (CCAB), Antonio Sarkis Jr., opened ...

For a New Generation of Brazilians Farming You Learn at School

When young Crauzimiro José Barbosa, 23, arrived at home talking about new sheep-raising techniques, ...