Guedes Says High Dollar Is Good: ‘Housemaids Were Going to Disneyland’

RIO DE JANEIRO, BRAZIL – Economy Minister Paulo Guedes said on Wednesday that a higher dollar is “good for everyone”. He said that “everyone” was going to Disney, in the United States, including “housemaids”, with the lower dollar. And he recommended that Brazilians should travel throughout Brazil.

“The exchange rate is not jittery, it has changed. There is no exchange business at R$1.80. Everybody going to Disneyland, housekeepers going to Disneyland, a huge party. Go to Foz do Iguaçu, go for a trip to the Northeast, it’s filled with beautiful beaches. Go to Cachoeiro do Itapemirim, go see where Roberto Carlos was born, go for a trip in Brazil, go see Brazil. It’s packed with beautiful things to see,” said the minister, during an event in Brasília.

On Wednesday, the dollar broke the fourth consecutive record against the Brazilian real. The US currency closed the day sold at R$4.3505, up 0.55 percent. According to Guedes, the combination of low interest and high exchange rate is good, because it increases exports and replaces imports, including in tourism.

While continuing his speech, Guedes said: “Before they say: ‘The minister says that housemaids were going to Disneyland’. No. The minister is saying that the exchange rate was so cheap that everyone was going to Disneyland, even the social classes more…”

The Minister of Economy then recommended other tourist attractions to be visited in Brazil.

“Everybody needs to go to Disneyland one day, but not three, four times a year. Because with the dollar at R$1.80 there were people going four times a year. You go three times to Foz do Iguaçu, Chapada Diamantina, you get to know a little bit of Brazil, you go to see the Amazon jungle. And the fourth time, you go to Disneyland, instead of going four times a year,” said the minister.

Guedes said Brazil has gone through the moment of a low dollar and high interest rates – the SELIC stands at 4.25 percent per year. According to the minister, “four on four” (dollar at R$4 and interest at four percent) is better than the dollar at R$1.80 with interest at 14 percent.

“Interest is a little lower, which is good for everyone. At the same time, a slightly higher exchange rate, which is good for everyone. More exports, more substitution of exports, even in tourism,” he said.

Last week, Guedes compared public servants to parasites. Then he said it was taken out of context and apologized. On Wednesday, Guedes said even his mother scolded him.

“My cousin, my godmother, and even my mother, who was a civil servant, wrote to me (criticizing), saying that they worked. But I was not talking about the people who are serious and deserve all respect,” he justified.

Guedes spoke during the Opening of the Year Seminar, organized by the “Voto” group. Members of the government, like Environment Minister Ricardo Salles and Infrastructure Minister Tarcísio de Freitas, attended the meeting at different times.

In another part of his speech, Guedes commented on the “manners” of President Jair Bolsonaro. In his opinion, content is what matters: “I don’t care much about the president’s bad manners, I have bad manners myself, I say rubbish all the time. Our manners are wrong, but the important thing is content”.

Source: O Globo

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