Brazil's difficulty in meeting fiscal targets has escalated concerns among Brazilian entrepreneurs, who have raised the alarm about economic growth prospects and anticipate setbacks in the expected interest rate cuts.
Folha consulted over ten entrepreneurs and CEOs from various sectors, who show caution in light of signs of public accounts' flexibility, with the revision proposed earlier this week by Luiz Inácio Lula da Silva's (PT) administration to postpone the surplus. The government plans to repeat the fiscal target set for this year in 2025. Thus, the goal is to achieve a result of 0% of GDP (Gross Domestic Product) for two years. Initially, the forecast was a surplus of 0.5% next year.
Rubens Ometto, chairman of Cosan's board of directors, sees a consensus that fiscal obstacles can hinder but believes the situation is still under control and requires careful fiscal management.
For Fábio Barbosa, president of Grupo Natura&Co, the government needs to resume the administrative reform agenda to be more prudent and efficient in its spending, alleviating the burden on taxes.