Banker André Esteves, CEO of BTG Pactual, stated during the opening of BTG Pactual Macro Day 2026, an event held in São Paulo with the presence of economists, politicians, and authorities, that reducing the interest rate from the current 14% per year to 7% is equivalent to 30 times any social program, due to the broad economic impact this measure would have on society.
Esteves classified the 14% interest rate level as an extremely hostile environment for economic activity, harmful to businesses in all sectors, including industry, retail, and entrepreneurship. He argued that high interest rates directly affect the base of the social pyramid, which is the portion of the population most vulnerable to the consequences of high rates.
The executive also rebutted the common belief that high interest rates would be beneficial for financial institutions by stating that the current scenario is harmful even to banks. Bringing interest rates to a single digit, according to him, would directly benefit the population most affected by high rates.
