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Recently reduced to R $ 300 (R $ 600 for single mothers), the emergency aid will not be extended in 2021, said today (16) the Minister of Economy, Paulo Guedes. He reiterated that the spending limit will remain after the end of the state of calamity approved this year due to the covid-19 pandemic.
“There is no plan to extend the aid, none. That is not true. That is not our intention, it is not what the President said. It is not what the Minister of Economy wants. No way, ”Guedes said at a virtual event promoted by an investment broker.
Despite reaffirming his commitment to the spending cap, the minister reiterated previous statements that the war budget could be resumed if the country suffers a pandemic again in another year. However, Guedes denied that this means indefinitely extending the state of public calamity.
“When the pandemic hit us, we created an emergency regime. Now, we cannot use the excuse of the emergency regime to blow up the spending ceiling, ”he said.
New tax
Regarding the implementation of a transaction tax, similar to the old Provisional Contribution on Financial Transactions (CPMF), Guedes denied having given up on the idea. According to him, the creation of the tax, which would cover a partial payroll exemption, is essential for the creation of formal jobs. Yesterday, the minister told CNN Brazil that he could waive the new tax.
“I don’t care if the tax is ugly, as long as it works by creating new jobs. It is necessary. But then I gave the wrong information yesterday, because that’s the feeling, “he said. “I am not a man who gives up easily.”
Recovery
Regarding the performance of the economy, the minister reiterated that Brazil continues a recovery in “V” (sharp fall followed by strong increase), after the economic paralysis during most of the first semester caused by the covid-19 pandemic. According to him, the post-pandemic period will require a commitment to fiscal responsibility.
“The disease is decreasing and, as it decreases, Brazil is recovering in a ‘V’. We must take responsibility for our budget and we must show that we are responsible, strong and resilient enough to pay for our war, rather than spin around. [renovar a dívida] for our children in the future ”, he concluded.
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