Two days before the Central Bank of Brazil makes a new monetary policy decision, after opting last May to cut rates by 25 basis points, to 10.5%.

The president of Brazil, Luiz Inácio Lula da Silva, criticized today Tuesday that the country is in a situation in which the current level of interest rates is not needed, which is "prohibitive" and "absurd."

These statements were made in a radio interview on CBN Radio, just two days before the Central Bank of Brazil makes a new monetary policy decision, after opting last May to cut rates by 25 basis points, to 10 ,5%.

For Lula, Brazil cannot continue with a rate that is prohibitive for the productive sector. "How are we going to convince businessmen to make investments if interest rates are at an absurd level?" he questioned.

This is not the first time that the president has criticized the monetary policy applied by the central entity, but since taking office he has harshly fought against its decisions, attacking the president of the bank, Roberto Campos Neto, considering that His strategy was politicized.

After the May meeting, the bank desisted from advancing a future decision on interest rates, since this would depend on the evolution of the international and national economic scenario, which it described as "challenging" and "uncertain."

"The current situation, characterized by a stage of the disinflationary process that tends to be slower, unanchored inflation expectations and a challenging global scenario, requires serenity and moderation in the conduct of monetary policy," the minutes of the meeting read. said meeting.

Although the latest decision has meant skipping the guide or strategy of recent months, the entity has maintained that, more important than the possible reputational cost of not following these indications, is the risk of losing credibility in terms of the commitment to combat inflation and anchor expectations.