BRASILIA - Brazil's new finance minister, Gustavo Krause, said the newly installed government of Itamar Franco would abide by the foreign debt rescheduling agreement recently signed with its private creditors.
"We will honor these commitments and all others with international financial institutions and multilateral organizations," Mr. Krause said at a news conference.
The Franco government will not apply emergency "shock treatment" to the economy, such as a price freeze or the confiscation of bank deposits, Mr. Krause said. Nor would it "dollarize" its currency by tying the cruzeiro to the U.S. dollar.
"Our overall objective is to promote economic growth through the stabilization of the currency and a resumption of investments," the minister said.