Creation of new social program back on the table
One day after President Jair Bolsonaro barred further discussions about Renda Brasil, the creation of a new assistance program was put back on the agenda after Senator Marcio Bittar (Brazilian Democracy Movement, MDB, of Acre) said he got the green light from the president to create a social program to go into effect after the current emergency assistance program ends. In order to avoid further disagreements like the one that created a tense situation for Special Secretary of Finance Waldery Rodrigues, the plan is for discussions about funding sources to be done with some discretion, and not just yet.
"What may happen is the program is created, and then it's scrutinized later. You do not have to create it, saying how much will be the value, where everything will come from at first," said Mr. Bittar, who is the rapporteur for the constitutional amendment proposal (PEC) for the federative pact and the budget.
After his meeting with President Bolsonaro, Mr. Bittar met with Economy Minister Paulo Guedes. On both occasions, he did not talk about how the basic income program would be paid for.
"It's no use speculating right now on what will be taken out, where we will cut, but I am authorized by the president, he gave me the green light," he said, adding that the way forward is to discuss the proposals with the economic team and Congress.
At Wednesday's meeting between the senator and Mr. Guedes, Mr. Rodrigues was not present. The Special Secretary of Finance also canceled the meeting he was supposed to have with state secretaries.
It was Mr. Rodrigues who had been holding these talks with Mr. Bittar and his team. But the secretary was in the hot seat after publicly confirming the economic team's intention to freeze retirement benefits and pensions for two years as a way to raise funds for the Renda Brasil program.
Tuesday morning, before taking to social media to say he would give a "red card" to anyone who presents him with politically unacceptable proposals, Mr. Bolsonaro met with Mr. Rodrigues. According to well-informed sources, the president ordered the secretary to not make any statements about plans that had not yet been approved, but did not mention firing him. He also didn't ask Mr. Guedes to dismiss him.
Pressure on Mr. Rodrigues has also been coming from the economic team itself. Mr. Guedes has so far not defended his assistant, nor has he spoken out to deny news that he is awaiting his resignation.
After clearing it with President...
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