Brazil’s Flavio Bolsonaro pledges fiscal adjustment, rejects cuts to social spending
The senator says the adjustment would come from eliminating ministries, tackling mismanagement at state-controlled firms and monetising federal real estate assets.
Sao Paulo, October 16 - Brazilian Senator Flavio Bolsonaro, the eldest son of former President Jair Bolsonaro, has pledged a budgetary adjustment of 200 billion reais ($39.49 billion) if elected president, according to an interview with TV Globo’s Jornal Nacional.
He made it clear that this adjustment would not involve any cuts to social spending, dismissing media reports to that effect. Bolsonaro’s campaign has been facing criticism over such false claims.
In the interview, Bolsonaro dismissed the idea of halting real minimum wage increases, eliminating automatic adjustments for social benefits, or reducing mandatory social expenditures. He aims to cut Brazil's rising public debt by eliminating ministries, tackling mismanagement at state-controlled firms, and monetizing federal real estate assets.
Brazil’s gross debt has increased by over 10 percentage points during the tenure of President Luiz Inacio Lula da Silva, reaching 82.9% of GDP. In contrast, long-term interest rates have dropped since Bolsonaro's unexpected first-round victory in the election.
The senator also assured that he would not seek to reverse a constitutional amendment ratified on Wednesday, which shortened the working week in Brazil from six to five days.
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