Minister Paulo Guedes (Economy) said on Friday (3) that the government will be able to expand the Bolsa Família if there is a solution to the excess of court orders —government debts recognized by the courts and with no possibility of appeal — that must be paid in 2022 According to him, this reinforcement in social actions is necessary because the cost of living “has increased a lot”.
“If we move forward in the solution of precatório, you will see a Bolsa Família with an increase because the cost of living has increased a lot, the most vulnerable are left behind. It is natural for Brazil to restore the living conditions of this more fragile population, but within the Fiscal Responsibility Law, under the roof, everything is right”, he said.
In a videoconference promoted by Radio TC, the minister said that the country is going through “the worst of inflation”, which should yield in the coming months. For him, the IPCA (Extended National Consumer Price Index) should end the year at 7% and would reach the end of 2022 at 4%. In the 12-month period through August, the IPCA-15 reached 9.3%
Among the factors that will lead to this goal, Guedes stated that the “Central Bank has to carry out this monetary control”. This action has been carried out by the monetary authority with successive increases in the Selic (basic interest rate).
Guedes also stated that the solution to the problem of court rulings will allow an average benefit of R$300 for the new social program, renamed Auxílio Brasil.
Negotiation coordinated by the president of the STF (Supreme Federal Court), Minister Luiz Fux, intends to establish a ceiling of R$ 39.9 billion for the payment of court-ordered debts in 2022 — the original estimated value is R$ 89.1 billion. The rest of the stock would be paid for in subsequent years.
According to the minister, if the agreement goes into effect, all fiscal rules will be respected and there will be space for a budget that is feasible in 2022, with the reinforcement of Bolsa Família and preservation of parliamentary amendments.