Commercial Federation wants Greater Brazil Plan extended to retail and services

The president of the Commercial Federation of São Paulo (“Fecomercio”), Abram Szajman, says that the Greater Brazil Plan is more than welcome. He said his only criticism was that it should be permanent and extended to other sectors. “Simplify the life of a businessman and reduce his tax burden, besides protecting the domestic market by making it more competitive and more productive should be a permanent effort by the government. And not just for the industrial sector,” said the Fecomercio president.

Szajman said the idea of BNDES loans at lower interest rates, which Greater Brazil will provide for the industrial sector, is also a very good idea for the small business segment, along with a reduction of payroll taxes that are also a part of the plan.

Szajman pointed out that Greater Brazil corrects effects as it is impossible to attack the causes of many problems. He cited the exchange rate, which distorts the export sector, government spending and high interest rates. “These problems make it difficult for the government to invest, create jobs and income,” he declared. “As long as Brazil has the highest real interest rates in the world, the exchange rate will continue to distort our competitive capacity. Unfortunately, we have to get at the causes of our problems. Even so, the measures announced [Greater Brazil] will make commercial operations easier, simplier and more open. There will be a reduction in the tax burden and red tape for domestic firms. That is good news,” said Szajman.