Lack of dialogue with Congress makes it difficult to adjust the government, assess economists

by Andrea
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There is a difficulty in dialogue between Congress and the Government to advance with the measures of adjusting the pubic accounts. The assessment is from MB Associados Chief economist, Sérgio Vale.

Moreover, according to him, “the government insists, as it has insisted since the beginning, in relevant spending part.”

According to the economist what has to happen, just over a year of the election, are unpopular, hard measures, but will need to be done.

Lack of dialogue with Congress makes it difficult to adjust the government, assess economists

It has $ 10 billion of the package just to close this year’s accounts. The measures presented range from increased, increased rates of sports bets and income tax collection the applications in real estate credit (LCI) and agribusiness credit letter (LCA).

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But so far, the House has only put the project that sustained the taxation of the. The provisional measure that provides for the other changes does not even have a rapporteur.

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“I believe there is no sense of urgency from the Congress to advance, from the perspective that they are measures to be valid, especially for next year. So will let it drag on,” bet Vale.

According to Warren Investimentos chief economist Felipe Salto, Congress himself has disturbed fiscal balance through a series of measures and it would be vexatious to overthrow government proposals.

“The measures sent by the government are not perfect and sin for not bringing deeper changes in the expense, but they are essential to close the accounts in this and next year, especially,” says Felipe Salto.

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Red Accounts

Heel warns that even if all government measures are approved, they would still miss $ 25 to 30 billion to close the 2026 accounts. “The problem is that the contingency will not be a possibility. This is because the discretionary expenses will already be at the minimum level that we would incur the risk of stopping the public machine,” he warns.

LACK OF CONGRESS INTEREST

For economist Sergio Vale, the impression is that Congress is already working to wait 2027 with a new government. He bets on more blockages and contingencies there.

“This government will increasingly depend on blockages and contingencies as we saw in this first round of this year. It must have again in the second half and, next year, comes blocks and contingencies even greater than we are seeing now, he says.

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He predicts that the situation must remain until the end of this mandate of President Lula and expect or himself or any government to make a more severe and necessary fiscal adjustment by 2027.

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