Guedes says the extension of emergency aid is safe if there is a 2nd wave



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On Thursday (12), the Minister of Economy, Paulo Guedes, declared that the government will extend the emergency help, if a second wave of the coronavirus pandemic arrives in the country.

“The extension of emergency aid if there is a second wave is not a possibility, it is certain. If there is a second wave of the pandemic, Brazil will react as it did the first time. We are going to declare a state of public calamity and we are going to recreate emergency aid, ”he said.

The minister informed that this is not the expectation, but the economic team foresees it as a contingency. “Plan A for emergency aid ends on December 31 and returns to Bolsa Família. The pandemic is going down, emergency aid is going down. The renewal of emergency aid is not our working hypothesis, it is the contingency ”, he added.

Even so, during the virtual event promoted by the Brazilian Association of Supermarkets (Abras), the minister reported that, if there is an extension, the idea is for Brazil to spend less than in the first wave of the pandemic. “Instead of spending 10% of GDP, we could spend 4%,” he added. “Brazil is going to break both waves, we are going the other way.”

The Minister of Economy once again pointed out that the economic team’s plan was to combine emergency aid with Bolsa Família or Renta Ciudadana, which is still under study.

Aid extended until December

President Jair Bolsonaro announced the extension of emergency assistance for four months worth R $ 300. The extension of the aid was made official through a provisional measure and must 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 aid beneficiaries, with the aim of helping Brazilians with low income, informal, MEI, self-employed and unemployed.

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