Current, next gov’ts agree on Central Bank autonomy

The government transition team assembled by Brazil’s President-Elect Jair Bolsonaro wants to ensure the autonomy of the country’s Central Bank. During his electoral campaign, economist Paulo Guedes, to be appointed head of the super-ministry of Economy, said that the stability of the currency stimulates production organization and the preservation of its purchasing power, while mentioning that both fall under the responsibility of the bank, which must work independently.

Like Guedes, Central Bank President Ilan Goldfajn argued for the total autonomy of the bank of the Executive branch, which should include a tenure with a different length from that of the country’s president. A bill on the matter is being considered in the lower house.

On Wednesday (Nov. 7), Goldfajn talked to party leaders and lower house speaker Rodrigo  Maia about whether it was possible to vote on the bill still this year.

Guedes said it would be natural if Ilan Goldfajn remained at the helm of the Central Bank, as they take the same stance on the institution’s autonomy.