government wants a specific amount for the new Bolsa Família; understand

Last Tuesday (09/14), Minister Paulo Guedes said that the increase in the value of the benefit (for BRL 300), now called Auxílio Brasil, is the government’s “zero priority”. He explained that, with the flare of the pandemic, the government needs to consider spending ceilings and fiscal responsibility.

“The agenda, priority zero, is Bolsa Família for R$ 300. The president [Jair Bolsonaro] I’ve already said that it’s R$300, within the ceiling and with fiscal responsibility”, he stated during the Macro Day event, which is promoted by BTG Pactual bank.

The resources that will bear the cost of Brazil Aid, according to Paulo Guedes, will come from income tax collection, which may bother the business segment in case of tax reform.

The minister, in criticism of the segment, pointed out that “inadvertently, sometimes, the business world goes to Brasília and lobbies against the Income Tax. He, in fact, is making Bolsa Família unfeasible”.

What is Brazil Aid?

The Auxílio Brasil program is a federal government initiative, which is awaiting congressional approval, to replace Bolsa Família. The reform intends unify various public policies, such as social assistance, health, education, employment and income.

The intention is that, in the new molds, the program will enable financial emancipation for families in Brazil, through the insertion of young people and adults in the labor market, through social assistance policies. This will be done through productive inclusion actions, entrepreneurship and the entry of families into the labor market.

In addition, through Auxílio Brasil, families will have easier access to microcredits.