The “license to spend” in addition to the fiscal rules of the next government already has a name: PEC de Transição.
The fight now is over what goes into that package. The National Congress sees no space for campaign promises made by president-elect Luiz Inácio Lula da Silva (PT) to be fulfilled before he takes office.
With the exception of the guarantee of Auxílio Brasil in R$ 600 for beneficiaries and the real increase in the minimum wage, the reading of the parliamentarians is that the list that makes political sense, with readjustments in a series of points of the Budget, should only be put into practice when the presidential sash has a new owner.
The next government, however, may want to take advantage of the Transition PEC to approve more things. Estimated at around R$95 billion, the Proposed Constitutional Amendment may cost twice as much to cover other budgetary adjustments.
The financial market, faced with this scenario, has already said a resounding “no”, both to Lula and to collaborators in the economic thought of the PT government, in the expectation that the cost of the PEC will have a ceiling of R$ 100 billion.
Even so, it is possible that it will support the release of this money, as long as a new fiscal anchor for the country appears.
In this Friday’s episode (4), the CNN Money analyzes calculations made by market economists to monitor the political and fiscal costs of the Transition PEC, the major issue of the national economy until the end of the year.
Presented by Thais Herédia and Priscila Yazbek, the CNN Money presents a balance of news issues that influence markets, finances and the direction of society and the dynamics of power in Brazil and in the world.
*Posted by Tamara Nassif
Source: CNN Brasil
