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BRASÍLIA – President Jair Bolsonaro said Monday that he “believes” there will be an extension of emergency aid, but did not give details of value or duration.
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It was the first time that Bolsonaro admitted the return of the benefit, suspended in December, which he had been denying since the beginning of the year. The statement came during an interview with TV Band. When asked if the aid will be extended, Bolsonaro replied:
– I think there will be. There will be an extension. They were five months of 600 reais and four months of 300. The debt reached 300 billion. This comes at a cost. Ideally, the economy should return to normal.
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The president’s statement is a change of tone from what he said on January 28. At the time, he said the resumption of aid would break the country.
In the same week, Bolsonaro said that the benefit “is not retirement” and pointed out that the government’s borrowing capacity was at its limit.
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‘Cut line’ with an eye on the ‘market’
Without giving details, Bolsonaro said Monday that a “cut-off line” is being studied, indicating that fewer people will be served:
– Now, do you have the pressure? To have. What is being studied: a cut line. There were 68 million people who received emergency aid – he said, then added: – How long can we pay for it?
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The president said that the extension must be done with “responsibility” in relation to public accounts so as not to have negative effects on the market, such as a rise in the dollar:
– If you do not do it responsibly, you end up distrusting the market, increase the value of the dollar, increase it to R $ 6, it will impact the price of fuel. It’s a snowball.
The Minister of Economy, Paulo Guedes, has also changed his mind in recent days on the subject. Last week, he admitted for the first time the return of the benefit, but made the measure conditional on the approval by Congress of what he called a “new fiscal framework.”
On Monday night, after meeting with the mayor, Arthur Lira (PP-AL), Guedes again commented on the measure, but did not give details. Asked if the amount would be R $ 200 or R $ 300, he replied:
– I’m not (I decide). Those are all together. This is somewhat more difficult. We are talking, we must be committed to fiscal responsibility – said the minister.
Increasing pressure on Congress
Despite initial resistance from Bolsonaro and Guedes, pressure in Congress to renew aid from the government has increased in recent days.
Earlier, also on Monday, the president of the Senate, Rodrigo Pacheco (DEM-MG), said that a solution for the new round of transfers should be defined by the end of this week.
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Pacheco did not give details about the model that would be built, but, unlike Guedes, argued that the payment should not be conditional on the approval of fiscal adjustment measures.
Last week, the Minister of Economy, Paulo Guedes, admitted renewing the aid, but asked the Legislature to approve a New Fiscal Framework, with measures to adjust public accounts.
