Interim President Temer Says in Interview That He Plans to Privatize Congonhas and Santos Dumont Airports

07/11/2016 - 10h07

In an attempt to obtain resources to reduce the deficit in government accounts, interim president Michel Temer told Folha that he will consider the privatization of the Congonhas (SP) and Santos Dumont (RJ) airports.

"We may have to privatize, the case will be analyzed, and Congonhas and Santos Dumont airports will represent a good addition," said Temer.

Reminded that there was no support to the idea during the Dilma Rousseff administration, Temer says he does not see any resistance to the idea from his economic team. "Or from my part."

Six airports have already been transferred to the private initiative – these airports are responsible for 45% of the passengers travelling by air in the country.

There are two models under discussion on the future of the Congonhas and Santos Dumont airports. The economic area's model includes transfer of control and the maintenance of Infraero, the Brazilian state airport management company, as a minority partner.

The other, of the civil aviation sector, calls for private management of the airports, but the Brazilian agency would maintain controlling interest.

Temer became interim president in May when the Brazilian Senate began an impeachment process against President Dilma Rousseff leading to her suspension from office.

Folha - Doesn't the new goal indicate that the government still has to do more in the fiscal area?

Michel Temer - The goal [of R$ 139 billion] was realistic, because a lot of people wanted it to be higher and others wanted it to be lower, so we reached a number that is realistic, or at least looks realistic. Will it entail sacrifices? Yes, it will.

Finance Minister Henrique Meirelles admitted that the government may need to raise taxes. What taxes will be risen?

For now, that issue is a maybe, there is nothing defined. After we sell some assets, we are going to analyze if it will be necessary. We are looking into the Cide, but we have to analyze the consequences because it could have an impact on inflation. PIS/Cofins is another possibility. I don't want to raise taxes, but if it is absolutely necessary, it will have to be done.

What will be put up for sale?

On the agenda we discussed yesterday [Thursday, July 7], the Congonhas and Santos Dumont airports were included, which would make a good addition. I am not saying that it is confirmed, but we are considering these two airports. It would help to reduce our deficit.

Is your administration going to privatize the two airports?

We discussed the issue. We may privatize them, it is going to be analyzed.

There was resistance against it during the Rousseff administration.

Today I don't see the same resistance coming from the economic team. And there is no resistance from my part either.

After the interim period is over, if it does occur, what will change in your administration?

Nothing will change. I am aware of my interim condition, but I am acting as if I were permanent. I will travel abroad – I haven't travelled lately to avoid any kind of constraint, as I intend to show that the country has returned to a condition of absolute normality and we are seeking investments.

When will the Brazilian people feel any improvements in the economy?

I already feel there is a new atmosphere. I am speaking of some sectors.

Do you fear that your name could become involved in the Brazilian Federal Police's Lava Jato operation?

There is no chance that will happen. I am not worried at all. Because I was never involved in it. I was never part of those schemes. Some news may come up, but it doesn't last, it fades. I am not worried at all. Zero. You can put "zero" in capitals.

What is your evaluation of the Lava Jato operation?

I think that it is positive for the country.

Translated by THOMAS MUELLO

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	Alan Marques/Folhapress
	Interim president Michel Temer gestures during an exclusive interview with Folha