After a week of negotiations, the Senate is still pressuring President-elect Luiz Inácio Lula da Silva (PT) to hand over more positions and funds in exchange for approval of the Proposed Amendment to the Constitution (PEC) of the Transition and discusses restricting the allocation of resources that will enter the Budget with the approval of the measure, specifying which areas must be covered by the new government.
The PEC, initially valued at R$ 198 billion, removes the Auxílio Brasil (which will be called Bolsa Família) from the spending ceiling, a rule that limits the growth of government expenses to the variation in inflation.
With that, it frees up a space of R$ 105 billion (estimated amount for the program next year) in the 2023 Budget for new expenses, not yet detailed.
According to the text, the reserve will be filled with requests from the transition team. The PSD, party of the president of the Senate, Rodrigo Pacheco (PSD-MG), began to demand the change in the text, with the specification of the areas that will be served.
As the newspaper O Estado de S. Paulo showed, Lula’s team agreed to negotiate the allocation of resources with parliamentarians in exchange for approval, but the bill charged in Congress is higher.
Parties ask Lula to appoint ministers, keep the budget secret and support the re-election of Arthur Lira (PP-AL) and Rodrigo Pacheco as presidents of the Chamber and Senate, respectively.
“We want this money to be stamped so that it doesn’t have a purpose and is specified in the PEC”, said PSD leader in the Senate, Nelsinho Trad (MS). “The government has to be satisfied if this PEC is approved in the current legislature. He will demonstrate that he has had tolerance from Parliament, without having taken office.”
The PSD bench, of 12 senators, agreed to support the PEC, but reducing the ceiling flexibility period from four to two years. Previously, the members of the legend defended an even shorter time, of just one year.
Leaders of other parties still demand the reduction. Lula’s team defends the use of the PEC to open fiscal space, leaving the definition of the destination of new expenses to the Annual Budget Law (LOA).
The information is from the newspaper The State of S. Paulo.
Source: CNN Brasil
A journalist with over 7 years of experience in the news industry, currently working at World Stock Market as an author for the Entertainment section and also contributing to the Economics or finance section on a part-time basis. Has a passion for Entertainment and fashion topics, and has put in a lot of research and effort to provide accurate information to readers.
