The pre-candidate for president of the Republic, Romeu Zema (Novo-MG), stated that he intends to promote a fiscal adjustment agenda, if elected in 2026, and said he believes that the measures could generate savings of around R$10 trillion over two decades.
According to Zema, the reduction in public expenses would involve administrative and social security reforms and a review of social benefits. For him, the combination of these measures would have a direct impact on the trajectory of interest rates in Brazil.
“Ending spending, administrative reform, social security and social benefits will cause the outlook for interest rates in Brazil to change very quickly. Over the next 20 years, we will save something around R$10 trillion. This result is feasible”, he stated in an interview with the program Free Channel.
The governor of Minas Gerais compared the proposal to the fiscal adjustment implemented during his administration in Minas Gerais. “It will be similar to what we did in Minas Gerais,” he said.
Zema did not detail which social benefits could be revised nor did he present technical estimates on the composition of the projected economy. Nor did he specify which points of administrative reform would be prioritized in a possible government.
