Brazil Continues Without a Budget for 2006

It’s the middle of April and Brazil still does not have a 2006 budget as a draft budget bill remains without a Congressional vote. Last week the government announced it was emitting temporary measures (medidas provisórias) MPs) to gain access to funding.

The leader of the PSDB in the Senate, Arthur Virgí­lio, has come out strongly against the use by the government of temporary measures for state-run enterprise spending and the financing of government programs.

Virgí­lio denied that the opposition was holding up a vote on the budget. "We are anxiously waiting for the vote. The opposition is not to blame for the delay. That must be clear," said the senator.

The president of the Brazilian Congress, senator Renan Calheiros (PMDB, Alagoas state), has scheduled a vote on the 2006 budget for 11:00 am today.

"The budget has to be voted on. There is no reason for further delay. There are only a few small details to be worked out. If we cannot reach a consensus, we will just decide the thing by a vote," said Calheiros.

In order to ensure a quorum for the vote, Calheiros announced he has contacted party leaders and ordered them to mobilize their members.

The government and the opposition in Congress have reached an agreement on one sticking point in the 2006 budget negotiations, which means that only four problems remain.

According to the man who is steering the budget through Congress, deputy Carlito Merss (PT, Santa Catarina), an agreement has been reached on the Kandir Law, which compensates states for tax exemptions (the ICMS tax) given to exporters.

After intense negotiations involving states, the executive branch and the legislature, it was decided states will receive an additional R$ 5.2 billion (US$ 2.4 billion), which will come out of the federal government’s appropriations.

The opposition (PFL and PSDB) still have four other demands they want met before voting on the budget. They are: more funding for the Coari-Manaus gas pipeline; more money for an irrigation project in the state of Bahia; more money for the state of Sergipe; and more funding for the 2007 Pan American games that will take place in the city of Rio de Janeiro.

It should be pointed out that the states mentioned above, Bahia and Sergipe, and the city of Rio de Janeiro, are governed by the PFL.

"If those issues can be resolved, we will vote the budget," declared senator Arthur Virgí­lio, (PSDB, Amazonas), an opposition leader in the Senate.

Agência Brasil

Tags:

You May Also Like

How Brazil Breeders Are Improving Arab Cattle

The breeders of bovines of the zebu breeds of Brazil are preparing themselves for ...

Australia’s Loss Is Brazil’s Gain in Beef Exports

Brazil's beef exports are forecast to rise about 5% during 2009. Higher exports should ...

Brazil’s Credit Rating Upgrade Felt More Like a Downgrade

Brazil government debt prices eased slightly after a rating agency upgraded Brazil’s credit but ...

Brazil Arrests American Charged with Pedophilia in Copacabana

The little Brazilian boy, 9, told his classmate what the old man had done ...

UN Gives Brazil High Marks for Poverty Fight But a D for Justice

The top UN human rights official, during a three-day visit to Brazil that ended ...

Brazil Petrobras’s New Record: 1.7 Million Barrels a Day

Petrobras – Brazilian Petroleum S.A. – broke its old daily production record of 1.596 ...

Brazil Creates 7 Environmental Sanctuaries in Killing Lands of Parí¡

Brazilian President Luiz Inácio Lula da Silva signed decrees on Monday, February 13, creating ...

My Story About Violence in Brazil Has a Happy Ending

Although I was born in Brazil, I lived many years abroad. I am an ...

With 2 Fairs, in Germany and the US, Brazil Organics Are Starting 2010 Well

The main markets for Brazilian organic products abroad are Germany, France, the Netherlands, the ...

Broken Dream

Guilherme looked in the mirror and saw an indecent belly that insisted on showing ...