Politics · Brazil · 16 hrs ago
Lula promises fiscal responsibility but gives no plan to reduce debt
Brazilian President Luiz Inácio Lula da Silva reaffirmed his fiscal commitment in a televised address on Sunday, his first since winning re-election.
He said public debt and high interest rates concerned him and promised to create conditions for lower rates while protecting fiscal rules.
He announced no specific economic measures, despite pressure from investors for a plan to keep the country’s debt on a sustainable path.
The issue matters because Brazil’s debt has risen and high rates can weigh on investment and economic growth.
Finance and Planning officials are preparing possible actions, ranging from limited adjustments to structural changes, while the government also aims to protect social programs.
The measures are expected after Lula returns from trips to Turkey and the Philippines in the second half of November; the choice of his next finance minister is also being watched.
Lula said he was committed to fiscal responsibility and concerned about Brazil’s public debt and high interest rates.
He promised to create conditions to reduce interest rates but announced no concrete spending-control measures.
In his first national radio and television address since his re-election, he also pledged to preserve fiscal rules.
He said he aims to raise investment to more than 20% of gross domestic product through partnerships with the private sector.
Lula said fiscal proposals remained under review and that he would decide on them after an international trip.
- Who
- President Luiz Inácio Lula da Silva.
- What
- He pledged fiscal responsibility and said he would create conditions to lower interest rates, but announced no concrete economic measures.
- When
- Sunday, November 8, 2026.
- Where
- In a nationally broadcast address on Brazilian radio and television.
- Why
- He said public debt and high interest rates concerned him; the address also came amid financial-market pressure for measures to control debt.
Financial market
Lula's government
Fiscal policy
Financial market
The financial market has pressed Lula to announce adjustment measures to control public debt.
Lula's government
Lula reaffirmed his commitment to fiscal responsibility but did not announce concrete spending-control measures.
Lula was re-elected, according to the reports.
Lula delivered his first nationally broadcast address since his re-election and pledged fiscal responsibility without announcing concrete economic measures.
Lula was expected to decide on fiscal measures after returning from visits to Turkey and the Philippines.
- Address length
- 7 minutes and 44 seconds
- Election result
- 64,256,232 votes, or 51.79% of valid votes
- Public debt
- 82.9% of GDP in September 2026
- Investment target
- More than 20% of GDP
9 sources
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Na TV, Lula promete responsabilidade fiscal, manda recado a Flávio e cobra Judiciário ético e isento
Sem detalhar medidas, Lula se diz 'preocupado' com dívida pública e juros
Na TV, Lula diz que se preocupa com dívida pública e taxa de juros
Em pronunciamento, Lula promete criar condições para reduzir taxa de juros
What people are saying
The trajectory of public debt and high interest rates concern me, so I reaffirm my commitment to fiscal responsibility, to enable sustainable social policies and the much-needed expansion of investment.
To that end, we will create the conditions to reduce the interest rate.
Brazil is no place for those who run away from their responsibilities.