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BRAZILIA – President Jair Bolsonaro said on Thursday that emergency aid could be paid again starting in March, for “three or four” months. The president affirmed, for his part, that the benefit cannot be eternal, citing retirement and the Continuous Payment Benefit (BPC).
– It is an emergency issue, because it is expensive for Brazil. It is a huge debt for Brazil. It’s almost okay. We do not know the value. Certainly, as of … with certainty, it may not be, as of March, three, four months, which (is what) is also being agreed with the Executive and Parliament. Because we have to have fiscal responsibility – said Bolsonaro, after participating in the delivery of rural property titles in Alcântara, Maranhão.
GLOBO anticipated that it would be announced, after the carnival, the extension of emergency aid for another three months, outside of the spending ceiling.
Later, broadcasting on his social networks, Bolsonaro once again said that the aid must be paid from March, but said that the values and the duration are still under debate.
The president took the opportunity to send a message to the market, which reacted negatively without tax compensation:
– Market people, whatever you say, you get irritated at the end of the line, right? The dollar rises, the stock market falls. Guys, if Brazil doesn’t have a course, everyone will lose, you too. So let’s stop being upset that it is going nowhere.
‘It cannot be eternal,’ says Bolsonaro
In Maranhão, in the morning, the president once again defended the commercial opening in the cities, without considering the figures of the pandemic. He said that if Brazil gets into debt, inflation will increase.
– If we borrow a lot, Brazil could lose credit. And then comes inflation, the debt is already R $ 5 trillion, and from there comes the chaos. And nobody wants that there.
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During the speech, the president praised the resources allocated through emergency aid to the state, to “help the population,” and declared that his team is studying expanding the benefit “for a few more months.”
However, he considered that the aid is emergency and “cannot be eternal”, because it increases too much the debt of Brazil.
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– At the moment, our team, together with the parliamentarians, are studying the extension of a few more months of emergency aid. I repeat: the name is emergency. It cannot be eternal because this represents a very large debt of our country – said Bolsonaro.
In recent days, the economic team has been discussing with Congress the extension of the benefit. The idea is to pay three more installments of R $ 200. The number of beneficiaries can be reduced by half. In 2020, almost 60 million people received the benefit.
On the other hand, the Minister of Economy, Paulo Guedes, wants to approve the reduction of expenses to pay the aid.
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The president pointed out that the population of Maranhão received R $ 13 billion in emergency aid due to the Covid-19 pandemic last year.
At the beginning of his speech, after making the symbolic delivery of bonds to the families of Alcântara, Bolsonaro announced that he had just spoken by phone with the president of Caixa Econômica Federal, Pedro Guimarães, and that the bank would open the first branch in the city .
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The president went to the city of Maranhão accompanied by several ministers, federal deputies and Senator Roberto Rocha (PSDB-MA).
Guedes will meet with Pacheco
Despite Bolsonaro’s prediction, the definition of how to finance the new round of aid still needs negotiation between the government and Congress. The president of the Senate, Rodrigo Pacheco (MDB-MG), said that Guedes requested a new meeting with him on Thursday so that teams from both sides can advance, during the carnival holiday, in the discussions on the possible resumption of aid from emergency.
– I prefer to consider the hypothesis that we are going to establish a consensus with the federal government, with the economic team to establish aid that is mathematically and economically possible at that time in the country and that can help these people. In the event that there is no such understanding with the federal government, we will evaluate it in due course – said Pacheco.
Asked about the possibility of creating a new tax to finance aid, the president of the Senate considered that this could be “ineffective” given the urgency of the issue:
– I think that right now, given that the aid is needed immediately, creating a tax would be even ineffective considering the time we need to react. So this discussion of tax increases with the tax system as it is, is a discussion that is not good for the country right now. What we urgently need now is emergency aid or a similar program that can help people regardless of the creation of a new tax.
Market ‘irritated’, autonomy of BC and fuels
During the broadcast on his social networks, on Thursday night, Bolsonaro again said that the aid must be paid from March, but said that the values and the duration are still under debate:
– We are considering extending emergency aid. For how many months? Three, four months. It is not yet defined. What value? It is not defined either. Now, it is something that is in a hurry. It has to be March.
The president complained about the negative reaction of the financial market to the news of the aid, saying that they are “irritated”.
– Market people, whatever you say, you get irritated at the end of the line, right? The dollar rises, the stock market falls. Guys, if Brazil doesn’t have a course, everyone will lose, you too. So let’s stop being upset that it is going nowhere.
Bolsonaro then questioned whether these people know what it means to go hungry:
– When the talk of discussing a few more months, a few months, the extension of emergency aid cannot be maintained, the market will behave as it is. “We will indicate to them that we do not want this.” Guys, do you know what it’s like to go hungry?
In the broadcast, Bolsonaro also commented on the approval of the project on the autonomy of the Central Bank (BC). The president said the vetoes were agreed to during the process in Congress, but he does not yet know which ones:
– The Chamber approved the autonomy of the Central Bank, a project that came out of the Senate. As some vetoes were agreed, which I still did not know, this (next) week, live on Thursday I hope to address here the autonomy of the Central Bank, the pros and cons of that.
Bolsonaro also promised to introduce a bill dealing with fuel taxes on Friday, promised last week. According to him, there was a delay on the part of the Ministry of Economy:
– The project is ready, the opinion of Economy is missing. Other ministries have already given me their opinion, Economy has been delayed. It is common for the economy to delay these views. But tomorrow that opinion has to be ready, the president also said that he will issue a decree requiring gas stations to present the composition of the price of fuel, from taxes to the profits of each establishment.
