Chamber Committee wants to hear Guedes, BB and Caixa about the departure of Febraban By Estadão Content

© Reuters Chamber Committee wants to hear Guedes, BB and Caixa on Febraban’s exit

The chairman of the Financial Oversight and Control Committee of the Chamber, Deputy Aureo Ribeiro (Solidarity-RJ), said this Sunday, 29, that he will present an application to hear the Minister of Economy, Paulo Guedes, the President of Caixa, Pedro Guimarães, and the president of Banco do Brasil (SA:), Fausto Ribeiro. The deputy wants to understand the banks’ decision to leave the Brazilian Federation of Banks (Febraban).

“When you politicize this issue of banks, it’s very sad, we start to get worried. I really want to understand what’s happening, we can’t stay in this ideological economy,” says Aureo Ribeiro.

The application will be presented this Monday, 30, as a priority, according to the congressman. The idea is that the invitation is approved by Wednesday, September 1st, and a single audience with the three is scheduled within 15 days.

Banco do Brasil and Caixa decided to leave Febraban and have already notified Paulo Guedes of the decision, and to the president of the Central Bank, Roberto Campos Neto, as found by Estadão/Broadcast. The reason for leaving is due to a manifesto that the Federation of Industries of the State of São Paulo (Fiesp) should publish on Tuesday, 31, with a request for harmony between the three Powers. Febraban is a signatory of the document.

The understanding of public banks, according to sources, is that the institution, which represents the sector in the country, is private and is taking a political stance, which both, which are controlled by the government, disagree.

Paulo Guedes and the presidents of BB and Caixa will be invited to attend the Chamber. The chairman of the Commission says that if the economy minister is absent, he will be summoned. Thus, Guedes would be forced to go to the Chamber to provide clarifications. Pedro Guimarães and Fausto Ribeiro cannot be summoned, only invited.

The two banks reportedly sent a note to Febraban, communicating the entity’s departure if the manifesto is published. According to reports, both were against joining the initiative, which was voted on by the institution and had the majority’s agreement. The subject has been discussed for a week. The manifesto does not mention the President of the Republic, Jair Bolsonaro, but it brings implicit criticism to the administration of Paulo Guedes and was seen by public banks as a clear attack on economic policy.

In the government, who led the movement to break public banks with Febraban was the president of Caixa, Pedro Guimarães, who maintains close proximity to Bolsonaro.

The relationship between public and private banks was already bad at Febraban, to the point that a national association of public banks was being considered.

The Fiesp manifesto, entitled “The square belongs to the three Powers”, was signed by several civil society entities. Together, they highlight in the document, that they see with “great concern” the “escalation of tensions and hostilities between public authorities”.