Brazil Lula's fiscal framework should no longer be defined in Constitution, says aide



BRASILIA, Dec 6 (Reuters) -

There is consensus around Brazil's President-elect Luiz Inacio Lula da Silva that the country's new fiscal framework should no longer be defined in the Constitution, an economic adviser said on Tuesday.

Nelson Barbosa, a member of his transition team, said at an event hosted by newspapers Valor Economico and O Globo that the Constitution should indicate that a law would establish these fiscal guidelines, showing support for a proposal in Congress providing for such a change.

Senator Alexandre Silveira, the leading sponsor of a constitutional amendment that opens room for increased expenses promised by Lula in his campaign, proposed that the leftist leader would be required to present a

new fiscal framework

in a conventional bill by the end of next year.

This type of change currently requires a constitutional amendment instead of a conventional bill, making its approval more difficult by depending on the support of three-fifths of the legislators in the Senate and Lower House.

Barbosa, a former finance and planning minister, stated that the transition team is analyzing different proposals for the fiscal framework to replace the spending cap, which limits the expansion of public expenditures to the previous year's inflation.

According to Barbosa, the principle of the inflation targeting system, which has bands to accommodate shocks, should be used in Lula's fiscal policy. The framework should also be compatible with job creation and economic growth, he added.

Barbosa also said that most economists recommended to Lula the return of federal taxation on fossil fuels, but the timing for that is undefined.

Outgoing President Jair Bolsonaro sent a 2023 budget proposal to Congress with extended tax reduction measures on fuels of 52.9 billion reais ($10 billion) that would initially expire this year. ($1 = 5.2288 reais)
Reporting by Marcela Ayres Editing by Marguerita Choy

免責聲明: XM Group提供線上交易平台的登入和執行服務,允許個人查看和/或使用網站所提供的內容,但不進行任何更改或擴展其服務和訪問權限,並受以下條款與條例約束:(i)條款與條例;(ii)風險提示;(iii)完全免責聲明。網站內部所提供的所有資訊,僅限於一般資訊用途。請注意,我們所有的線上交易平台內容並不構成,也不被視為進入金融市場交易的邀約或邀請 。金融市場交易會對您的投資帶來重大風險。

所有缐上交易平台所發佈的資料,僅適用於教育/資訊類用途,不包含也不應被視爲適用於金融、投資稅或交易相關諮詢和建議,或是交易價格紀錄,或是任何金融商品或非應邀途徑的金融相關優惠的交易邀約或邀請。

本網站的所有XM和第三方所提供的内容,包括意見、新聞、研究、分析、價格其他資訊和第三方網站鏈接,皆爲‘按原狀’,並作爲一般市場評論所提供,而非投資建議。請理解和接受,所有被歸類為投資研究範圍的相關内容,並非爲了促進投資研究獨立性,而根據法律要求所編寫,而是被視爲符合營銷傳播相關法律與法規所編寫的内容。請確保您已詳讀並完全理解我們的非獨立投資研究提示和風險提示資訊,相關詳情請點擊 這裡查看。

我們運用 cookies 提供您最佳之網頁使用經驗。更改您的cookie 設定跟詳情。

風險提示:您的資金存在風險。槓桿商品並不適合所有客戶。請詳細閱讀我們的風險聲明