Labor unions protest against 13.75% interest rate

Labor union centrals held, on Tuesday (21), acts of protest against the interest rate set by the Central Bank (BC), which is 13.75% per year.

In São Paulo, the group gathered in front of the bank's headquarters, on Paulista Avenue, and held a sardine barbecue. "The intention is to show that high interest rates fatten rent sharks, while for the people there are only sardines left," explained Miguel Torres, president of Força Sindical, in a statement.

On Tuesday, the Monetary Policy Committee of the Central Bank (BC) holds its second meeting of the year to set the economy's basic interest rate, the Selic. The monetary tightening is expected to continue with the maintenance of the Selic at 13.75%, even with pressure from the federal government to reduce the rate. Copom's decision will be announced on Wednesday (22).

According to the Central Única dos Trabalhadores (CUT), which participates in the mobilization, the acts also demand the democratization of the Council of Administration of Tax Appeals (Carf), which judges administrative proceedings of large debtors. "In general, [the Carf] benefits tax evading companies, because most of the counselors are businessmen," says CUT.

For Adriana Magalhães, from the Sindicato dos Bancários de São Paulo, the high interest rate delays social development and is one of the main causes of misery in Brazil. "If the government pays 13.75% interest on the public debt, there won't be enough money for health and education. We want to get out of this situation of misery and poverty that the Bolsonaro government has left us."

The protest act of the trade union centers also calls for the departure of the president of the Central Bank, Roberto Campos Neto, who was appointed by the Bolsonaro government and has a mandate until December 2024.

"It's absurd what the Central Bank is doing with workers, with our country, playing against our development and the resumption of growth. That is why we held demonstrations in several capitals of the country," said the president of Força Sindical, in a video on social networks.

Agência Brasil requested a position from the Central Bank, but did not receive a reply as of the publication of this report.