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Many Brazilians eagerly await the extension of emergency aid. However, the President of the Republic Jair Bolsonaro once again affirmed that it will not be possible to maintain the payment of emergency help in 2021 due to the country’s debt.
The president had previously commented on the government’s difficulty in maintaining the benefit. However, it gave a positive signal for Congress to seek the source of funding for the new program, Renta Ciudadana, a supposed replacement for Bolsa Família.
“I know that the 600 reais (of aid) is little for those who receive it, but it is a lot for Brazil. You have to be responsible for using the BIC pen. It is not possible to stay much longer with this aid because our indebtedness is monstrous ”, argued the president. “But Brazil is really coming out of the crisis, the figures show,” he said.
The mayor, Rodrigo Maia, has indicated in his statements that he will not make decisions that compromise the fiscal situation in Brazil and has been defending the approval of the spending ceiling regulation as an absolute priority of Congress.
Even so, Maia continues to defend the non-extension of emergency aid and has been saying that the regulation of the spending ceiling is more important than the institution of a new income program.
“I have already made it publicly clear that I am against the extension of the calamity decree and that a solution must be found within the spending ceiling,” said the mayor on the social network.
Aid extended until December
President Jair Bolsonaro announced the extension of the emergency aid for four months worth R $ 300. The extension of the aid has already been made official through a provisional measure and must now be approved by deputies and senators in the National Congress.
“It is not enough for all needs, but basically it does. The amount just defined is slightly more than 50% of the value of Bolsa Família. So, we decided here, even taking into account the economy on fiscal responsibility, to set it at R $ 300, “said Bolsonaro.
This year, the Executive deposited five installments of R $ 600 for the beneficiaries of the aid, with the aim of helping Brazilians with low income, informal, MEI, self-employed and unemployed.
Citizen income: what is it like?
According to Senator Marcio Bittar (MDB-AC), rapporteur of the PEC (constitutional reform proposal) of the Federative Pact, the value of the new benefit, Renta Ciudadana, a substitute program for Bolsa Família, will be between R $ 200 and R $ 300.
In an interview, the senator stated that the government will not exceed the spending ceiling to finance the new program. The Citizen Income will have at least R $ 25 billion more than Bolsa Família.
“The value (of the individual benefit) will be less. It will be between R $ 200 and R $ 300 in this first moment. For that, we had to find a new budget solution. But we are not going to pierce the ceiling. In that discussion, an additional roof solution was considered. However, it was not ideal and the economic team found a solution, “said Bittar.
Even so, the senator informed that the amount will increase each period, in accordance with the increase in space in the Budget.
Economy Minister Paulo Guedes confirmed that the government will maintain its commitment to limit public spending below the ceiling. According to the holder of the portfolio, the measure will be adopted even if it is necessary to abandon the new social program, the Citizen Income.
According to Guedes, it is better to leave Bolsa Família as it is than to expand and create a new program that does not have fiscal sustainability.
“If we cannot find the space to do a better program, we will return to Bolsa Família. It is better to go back to Bolsa Família than to try to make a crazy and unsustainable move, ”he said.
Guedes revealed that the government will not be populist and also guaranteed that the replacement of Bolsa Família will be fiscally sustainable, within the spending ceiling rule.
“There is no trick,” Guedes said. He noted that larger cash transfers could be made with cuts in subsidies and deductions for the highest income classes. “There is no discussion about the (spending) ceiling,” Guedes said.
See also: R $ 300 and R $ 600 of aid: SEE what will be paid from October 26 to 31
