05/23/2024 – 18:39
Governor Tarcísio de Freitas (Republicans) said this Thursday, 23, that an audit carried out by the government of São Paulo in the payment of social security benefits identified irregularities that could result in savings of R$500 million per year. He also estimates savings of R$1.2 billion annually because 24,000 public servants did not take the life test within the deadline determined by the government.
As anticipated the Estadão, the government launched the “São Paulo in the Right Direction” plan, which has as its axis the cutting of spending on the public sector to increase the space allocated to investments. A decree published in the Official Gazette gave guidelines for the State to carry out the assessment of tax benefits granted to companies, the renegotiation of debt with the Union, the extinction of public bodies and cutting costs and personnel.
There is no estimate of what the program’s total impact will be on public coffers, as most of the measures are still in the technical study phase, which should be completed within 90 days.
Some actions, however, such as auditing and proof of life, have already started to be implemented. “These are important accounts that, in the end, increase our ability to make investments. The idea is to reduce costs and the size of the State”, said the governor at a press conference.
The most impactful measures are the review of tax incentives – between R$15 billion and R$20 billion in increased revenue per year – and the renegotiation of the debt index, which in government calculations could reduce the amount of debt by R$4 billion. amount paid to the Union each year.
The government, however, still does not have estimates of the economy with cuts in cost items, such as spending on airline tickets, overtime and cleaning, surveillance and printing services. Tarcísio also places emphasis on the extinction of public bodies and the sale of State properties. However, these measures will have to be approved by the Legislative Assembly of São Paulo (Alesp).
“What we feel at Alesp is a very strong commitment to the fiscal situation. It is an Assembly that is heading in the right direction, that has the correct vision. When we talk about a more liberal agenda, this has resonated very well because we have extremely prepared parliamentarians”, stated the head of the Executive.
Governor dismisses secretary
In addition to the decree with the guidelines of the “São Paulo in the Right Direction” plan, Tarcísio also published in the Official Gazette this Thursday the dismissal of Lucas Ferraz. The Secretary of International Relations had been in the spotlight for about a year.
The ministry led by Ferraz said in April 2023 that representatives of the Ukrainian state-owned aviation company Antonov showed interest in investing US$50 billion in the State, but had retreated due to statements by President Luiz Inácio Lula da Silva (PT) about the war in Ukraine .
Antonov, however, denied the information at the time and said it had no representatives in Brazil, which led ministers from the PT government to accuse the Tarcísio government of spreading fake news.
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