National Congress approves project that guarantees resources for the Safra Plan

After ensuring that President Jair Bolsonaro’s (PL) cuts in the budget are maintained, the National Congress approved this Thursday (28) a bill that transfers resources to the Safra Plan, for credit to rural producers.

The proposal was symbolically approved by the deputies and senators.

The resources for the Safra Plan were being pressured by ruralists, since credit lines were paralyzed for lack of resources.

The government had requested the approval of the projects by the National Congress for the release of funds, but there was a major impasse that lasted a few weeks. That’s because the governmentists demanded, in exchange, the maintenance of the presidential vetoes to the budget, which resulted in cuts mainly in the INSS (National Institute of Social Security) and in Education.

The approved bill provides for the release of R$ 2.572 billion. The initial proposal determined transfers of R$ 1.7 billion in favor of the federal government, states and municipalities, basically for the cost of civil servants. In February of this year, however, the government sent a message that supplemented the amounts, by approximately R$ 800 million, exclusively to meet the needs of the Harvest Plan for the current harvest.

Two other National Congress projects that release resources were approved by deputies and senators. One of them provides for the transfer of R$ 7.6 billion to states and municipalities, as a result of Petrobras auctions. The other provides for mechanisms to change the budget law and facilitate payment of precatories — Union debts, the result of court decisions.

The government won a victory during the vote on Thursday. This is because the National Congress maintained the controversial presidential veto of the budget law, including the cut of BRL 988 million in INSS expenses.

Congress had approved an allocation of BRL 2.388 billion for expenditures for the body, responsible for the payment of retirements, pensions and other benefits.

President Jair Bolsonaro, however, vetoed 41% of this amount, leaving the INSS with a forecast of R$ 1.4 billion for the year.

Although the amount is the same as that requested by the government when submitting the Budget proposal, in August 2021, technicians consider it below the minimum to ensure the agency’s activities.

The vote in the National Congress was marked by great controversy. This is because there were presidential vetoes that blocked the agenda, as they had priority in the appreciation. The vice president of the Chamber and of the National Congress, Marcelo Ramos (PSD-AM), had announced in the past that he would not run over presidential vetoes, as they contradict the Constitution.

That’s why he started to vote the vetoes, individually, while leaders worked out an agreement, which ended up being signed in the middle of the afternoon. The decision, however, began to favor the government, since there was no articulation in the opposition to overturn more controversial vetoes.

When it was close to being defeated in important votes, such as the privatization of Eletrobras, the opposition then closed an agreement so that the other vetoes would be left for the next week.

“The agreement was possible because we were going to lose all the votes”, said Afonso Florence (PT-BA).

There are still controversial vetoes on the National Congress agenda, such as the new National Security Law and the Paulo Gustavo Law, which promotes culture.