Haddad says new rules for PPPs are in the final phase

The economic team is working on new legislation for public-private partnerships (PPP) in parallel with the new fiscal framework, said the Minister of Finance, Fernando Haddad. He spoke to journalists after returning from meetings with the presidents of the Chamber of Deputies, Arthur Lira (PP-AL), and of the Senate, Rodrigo Pacheco (PSD-MG).

“It has a regulatory framework, which has nothing to do with the fiscal framework, on investments, which we are finalizing at the Treasury”, said Haddad, when asked about what is missing for the disclosure of the new fiscal rule that will replace the spending cap .

According to the minister, there is a doubt as to whether the new rules for PPPs will be disclosed along with the new fiscal framework, but Haddad said he was indifferent to the issue. “It is an important thing to leverage investments, at a time when Brazil is in need”, he said. “There is a doubt whether to launch it together (with the fiscal framework) or not. It makes no difference to me”.

Haddad informed that there are still details to be finalized before sending the complementary bill to Congress for the new fiscal rule, such as an account on expenditures linked to the Constitution, such as health and education. “It remains to define an account on the constitutional bindings that we are making in order to be sure about the parameters”, he declared.

Regarding the meetings with Lira and Pacheco, Haddad said that the presidents of the Chamber and of the Senate welcomed the proposal of the new fiscal framework. “The reception of both the (party) leaders and the presidents was very good, as well as the ministers on Friday, who got to know the framework with the president (Luiz Inácio Lula da Silva)”, he declared. The minister said that he intends to report the results of the meetings to Lula this Monday (20th) and denied that he had received suggestions from the heads of the Legislature.

On Friday (17), Haddad met with Lula and the ministers of the Civil House, Rui Costa; from Planning and Budget, Simone Tebet; and Public Services Management and Innovation, Esther Dweck, to discuss the final details of the new fiscal anchor design. As in recent days, the minister repeated that he intends to disclose the framework before Lula’s official trip to China, which will take place between the 26th and 31st.