"The government was sabotaged when the economy started to do well," says Guido Mantega.

247 - In interview with the program good night 247Former Finance Minister Guido Mantega stated that Lula's government was the target of "sabotage" when economic indicators began to show improvement, especially in 2024. According to him, the main players in this action were the president of the Central Bank, Roberto Campos Neto, and sectors of the National Congress.

“Even though the government was constrained, it managed to find ways forward,” said Mantega, commenting on the positive performance of the economy despite the fiscal and political restrictions it faced. According to the former minister, the scenario began to change when the opposition realized that Lula's government's numbers were improving. “When the adversaries realized that the government was doing well, that the economy was doing much better than they imagined, that's when they staged a semi-coup,” he declared.

Mantega reported that the president of the Central Bank had contributed to destabilizing the government by releasing a projection of fiscal imbalance, which, according to him, affected the credibility of economic policy. “Roberto Campos arrived and said: 'Because there is a fiscal imbalance, the debt will rise,' he started this story. Then he began to say: 'Inflation will rise' because there was too much public spending—which is a lie.”

The former minister explained that the immediate impact of these statements was the appreciation of the dollar and the increase in food inflation. "He makes predictions that are accepted by the market. The market believed what he said and found a way to undermine the government."

Mantega also commented on the overturning of the decree that altered the IOF tax rates, orchestrated by parliamentarians. He classified the measure as yet another act of sabotage. "It was a rug pull that Hugo Motta pulled on the government," he said, referring to the decision to schedule the vote unexpectedly during a week of June festivities, when the presence of deputies is usually lower.

According to Mantega, the government's strategy was to raise R$ 20 billion with the change in the IOF (Tax on Financial Operations), a measure that, because it did not depend on Congress, had been adopted to avoid political blockages. "The IOF is a prerogative of the government. I have often increased and decreased the IOF without consulting anyone," he stated. He did, however, acknowledge that there had been a failure in political coordination. "I think the government wasn't very clear there; it should have negotiated with the presidents of the Chamber and the Senate."

The former minister also defended the current proposal from the economic team to cut 10% of tax subsidies, estimated at around R$ 600 billion. "I want to see Congress back this up. They have to cut to the bone, in their amendments. It has to be linear."

According to Mantega, despite the difficulties, there are signs of improvement. "Inflation is already falling; the price of rice, beans, eggs, and even coffee has dropped," he pointed out. He predicted that the effect of the real's revaluation should be felt within the next two months, helping to consolidate the economic recovery. "This will alleviate one of the government's problems."

Finally, Mantega warned that the conduct of monetary policy needs to be careful so as not to compromise the recovery in 2026. "If the Central Bank misjudges the situation, we'll enter 2026 with a weak economy, and then President Lula will lose the election." Watch: