Education and Health portfolios are seen as possible targets for adjustments, but the Ministry of Finance has not yet confirmed the exact values
The federal government faces a significant impasse when trying to define which areas will be impacted by the budget and which amounts need to be saved. This lack of consensus resulted in yet another delay in announcing the measures necessary to adjust the budget to the new fiscal framework. Recently, a meeting was held at Palácio do Planalto with the presence of several ministers, including Finance, Planning, Management and Innovation, Education, and Health. The Education and Health portfolios are seen as possible targets for adjustments, but the Ministry of Finance has not yet confirmed the exact values.
In the social sphere, the Minister of Development and Social Assistance, Wellington Dias, assured that there will be no cuts in benefits such as Bolsa Família and the Continuous Payment Benefit (). He emphasized that the department will focus on combating fraud in receiving these benefits, without necessarily reducing transfers. However, the uncertainty and delay in announcing spending cuts are already impacting the . This Friday (8), the index closed high, reaching R$5.73, while the Ibovespa, the stock market reference index, fell 1.43%, ending the session at 127,800 points.
Resistance to cuts in fundamental areas weakens the position of the Finance Minister, who had assured that only “small details” were missing for the announcement of the cuts. The current situation refers to the discussion on tax reform, where the search for exemptions resulted in a higher VAT than expected. If the package of cuts is insufficient, the economic situation could deteriorate, affecting the popularity of the government and President Lula.
*With information from André Anelli
*Report produced with the help of AI
