The government must expand the blockade of resources in the 2022 Budget so as not to run the risk of breaching the constitutional rule of the spending ceiling, which prevents federal expenses from growing beyond inflation.
The measure had to be taken in view of the growth in mandatory spending in relation to what was previously forecast and should increase the limitations of the public machine a little more than two months before the elections.
Members of the Ministry of Economy heard by the Sheet comment that the value must be high and that it must exceed R$ 5 billion. Despite this, they point out that the analyzes are still in progress and that the number may vary until the moment of the announcement.
The government has until next Friday (22) to publish the need for a block. The numbers must be announced through the income and expenditure report, which the government must publish bimonthly, and the areas to be cut must only be detailed later.
Although the report normally expresses the need for blocking to meet the fiscal target (result of income minus expenses), this year the difficulty is only on the expenditure side with the possible blowout of the ceiling.
Currently, about R$ 10 billion are already allocated in the Budget, considering the reserve of R$ 1.7 billion for readjustments and restructuring.
The most recent blockade, detailed in June, mainly hit the ministries of Science, Education and Health.
In the case of the Science Ministry, there was a cut of R$ 2.5 billion from the R$ 6.8 billion previously foreseen in the so-called discretionary funds (which the government can postpone, unlike the mandatory ones). The scissor is equivalent to 36% of the total.
In Education, the scissor was R$ 1.6 billion out of a total of R$ 22.2 billion in discretionary (7.2% of the total). Health, on the other hand, received a cut of R$ 1.2 billion out of a total of R$ 17.4 billion (also 7.2% of the total).
The ministries of Defense (equivalent to 6.2% of discretionary), Tourism (5.6%), Communications (5.6%) and Foreign Affairs (5.6%) also underwent cuts. Also on the list are the Presidency of the Republic (5.65%) and the Central Bank (5.6%). Rounding out the list are Justice (4.2%), Regional Development (3.8%), Women (3.7%), Mines and Energy (3.4%), Infrastructure (2.6%) and Citizenship (2.1%).
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