President says he knows it is “unpleasant” to be cut, but that it is necessary to make room for others when reaching income above the limit
The president Luiz Inácio Lula da Silva (PT) defended this Friday (September 6, 2024) the fine-tooth comb that his government has carried out on social programs to cut people who, in theory, would no longer be entitled to receive benefits. The governor said he knows that the cut is “very unpleasant”, but it is necessary so that the government can reach those who really need help.
“What we have to do from time to time is a thorough investigation to find out whether people who lost the right to the benefit are receiving it. […] I know it’s always unpleasant for someone to be cut off, but if the person has already reached an income that no longer needs Bolsa Família, we have to try to replace it with a person who needs it but hasn’t joined yet,” said Lula in an interview with Difusora radio, in Goiânia (GO), after being asked about the dissatisfaction of beneficiaries who lost access to social programs.
At the end of August, the economic team detailed the R$26 billion in spending cuts planned for the 2025 Budget. The main savings should come from revisions to Social Security (R$10.5 billion), the Continuous Benefit Payment (R$6.4 billion) and other categories.
Most of the cuts will come through revisions (R$19.9 billion). The other part (R$6.1 billion) will come through changes in “relocation” and “reprogramming” of the social program, according to the Ministry of Planning and Budget. Here is the full of the presentation (PDF – 932 kB).
The estimated savings from Bolsa Família are R$2.3 billion. The unemployment insurance will be targeted at R$1.1 billion.
The government announced in July its intention to make savings in the accounts. The ministers Fernando Haddad (Farm) and Simone Tebet (Planning and Budget) had said at the time that part of the measures would come from a “fine-tooth comb”.
Gas for All
Lula said in the interview that the government will create the Gas for All program, which will serve up to 22 million people. Currently, the gas aid has around 5 million beneficiaries, according to the government.
On Thursday (September 5, 2024), the Secretary of the National Treasury, Roger Ceronsaid that the government should reevaluate the bill that proposes the creation of Gas for All. The Planalto’s initial idea was to fund the initiative with resources that would not pass through the agency’s accounts – they would be outside the spending growth cap.
The issue gained repercussion in the press and the members of the economic team soon said they would review the program. On Wednesday (September 4), the Finance Minister, Fernando Haddadsaid there is “room” to review the maneuver made to finance the program.
Gas for All was proposed in the Bill 3,335 of 2024 and establishes the Pre-Salt Social Fund as the source of resources. In practice, this would mean that expenses would not be subject to the rules of the fiscal framework. The program’s creative calculation increases fiscal uncertainty and is criticized by economic agents.
#Lula #advocates #finetooth #combing #programs #time #time
