MercoPress. South Atlantic News Agency

Lula's “neo-liberal” administration.

Brazil's ruling party president Jose Genoino strongly reacted to allegations from a group of economists who described Luiz Inacio da Silva administration's economic policies as “neo-liberal”, anathema for any middle of the road Latinamerican politician.

"Mr. Lula's government is not a transition to socialism. We're not leading a confrontation government or a government preaching revolutionary rupture", stressed Mr. Genoino during a debate in one of Sao Paulo's main universities.

"We are a government of gradual and processed reforms, working in a world economic order into which Brazil is inserted", said the Workers Party president rejecting a paper from economists belonging to some of the most prestigious universities of Sao Paulo and Rio do Janeiro.

Mr. Genonio points out that "these economists have made proposals regarding exchange rates and control of capital movements that Brazil in no way can execute", adding that the real debate should be, "What strategy must a left wing government follow to rule a country such as Brazil?".

"We are willing to discuss with them because I'm convinced they lack information, they are looking at the tree and not at the forest. Our strategy is to successfully change the model during the course of the four years mandate".

Mr. Genonio also indicated that the document titled "Forbidden Agenda" was drafted in a hurry and with a clear political purpose. This week the Brazilian Central Bank will be making crucial decisions regarding interest rate and future monetary policy, perhaps the most controversial issue regarding economic policy since the left wing but pragmatic Mr. Lula da Silva took office.

The Workers Party president also blasted dissident Deputies who have publicly criticized the government and abstained from voting government policies.

"They are free to criticize, but from the other side. Belonging to a political party is not only bonus, it means bonus and onus. Bonus in winning an election and belonging to government, but you can't also pretend opposition bonus, that's simply individualism and disrespect for the political system", said Mr. Genonio.