Miragedriver
Brigadier
Brazilian Defense Minister proposes to Saab interest rate intermediate between the agreed and the reduction requested by the government to keep the purchase of 36 Gripen force
(Defensa.com) At the request of the minister, Joaquim Levy, President Dilma Rousseff had requested days ago the Government of Sweden to revise the interest rate originally stipulated in the contract. Fiscal adjustment and the reduction of interest rates prevailing in Europe were the main arguments put forward by the president. In order to avoid cancellation of the contract if there is no agreement between the two countries, he arrived in Brazil a committee of executives and banking officials with Swedish manufacturer Saab representatives.
The group met with Defense Minister Jaques Wagner, trying to negotiate an intermediate rate, according to a ministry spokesman. The interest in the contract is 2.54% per year, and Levy wants to reduce that percentage to 1.54%. Jaques Wagner have proposed, then a rate of 1.98% per annum.
Also, according to the spokesman of the Ministry of Defense, will be the final decision of President Dilma Rousseff, who would be willing to keep the contract. In addition to the expected waste of time if the purchase is revised, the withdrawal of the current order would involve the payment of fines. Defense argues that the contract is not yet really threatened and that the time between the two countries to reach an agreement only ends in October. The meeting yesterday did not result in any agreement.
Sweden states that you can not change the interest provisions of the pre-contract, approved by Parliament and is based on the expected rate by the European Central Bank. More than that, despite the interest in the business - managing the largest ever made by the sale of Gripen aircraft - the reduction of interest rates could set a precedent that the country would not be willing to face, since 60 % of its economy comes from exports.
The direction of the SEK (Swedish Export Credit Corporation to), which met with Minister Wagner, have offered, again, the expansion of payment periods, reducing the amount to be paid in 2016. But the team economic think this does not is sufficient and insists on reducing interest rates. In fact, the Brazilian government still believes he can count on the goodwill of Sweden, as they also have a great interest in the project. Brazil used the reduction in interest rates, with Sweden as a dangerous precedent to negotiate other international agreements.
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(Defensa.com) At the request of the minister, Joaquim Levy, President Dilma Rousseff had requested days ago the Government of Sweden to revise the interest rate originally stipulated in the contract. Fiscal adjustment and the reduction of interest rates prevailing in Europe were the main arguments put forward by the president. In order to avoid cancellation of the contract if there is no agreement between the two countries, he arrived in Brazil a committee of executives and banking officials with Swedish manufacturer Saab representatives.
The group met with Defense Minister Jaques Wagner, trying to negotiate an intermediate rate, according to a ministry spokesman. The interest in the contract is 2.54% per year, and Levy wants to reduce that percentage to 1.54%. Jaques Wagner have proposed, then a rate of 1.98% per annum.
Also, according to the spokesman of the Ministry of Defense, will be the final decision of President Dilma Rousseff, who would be willing to keep the contract. In addition to the expected waste of time if the purchase is revised, the withdrawal of the current order would involve the payment of fines. Defense argues that the contract is not yet really threatened and that the time between the two countries to reach an agreement only ends in October. The meeting yesterday did not result in any agreement.
Sweden states that you can not change the interest provisions of the pre-contract, approved by Parliament and is based on the expected rate by the European Central Bank. More than that, despite the interest in the business - managing the largest ever made by the sale of Gripen aircraft - the reduction of interest rates could set a precedent that the country would not be willing to face, since 60 % of its economy comes from exports.
The direction of the SEK (Swedish Export Credit Corporation to), which met with Minister Wagner, have offered, again, the expansion of payment periods, reducing the amount to be paid in 2016. But the team economic think this does not is sufficient and insists on reducing interest rates. In fact, the Brazilian government still believes he can count on the goodwill of Sweden, as they also have a great interest in the project. Brazil used the reduction in interest rates, with Sweden as a dangerous precedent to negotiate other international agreements.
Link:
Back to bottling my Grenache