Today, the process of approving the 2021 budget continues to stall. Antivax employees could be fired with cause. The price of beef skyrockets, which is good news for major producers, but bad for consumers.
New Speaker, same problems
Yet again, the creation of Congress’ Budget Committee will be postponed — despite newly-elected House Speaker Arthur Lira having promised it would take place today. The reason is the same that prevented the committee from functioning in 2020 and has left Brazil without a 2021 budget: parties simply cannot agree on who will take the main seats. In the best-case scenario, parties would resolve their squabbles today and the committee could be created on Wednesday.
- Still, there are questions on whether lawmakers will choose to fast-track proceedings to approve the 2021 budget. Congress has no sittings scheduled for next week due to the Carnival holiday, even if celebrations have been banned in 20 states.
- Given the complexity of negotiations concerning federal spending, one should not be surprised if Brazil finishes Q1 without a 2021 budget in place.
Why it matters. So far, the government is only allowed to spend one-twelfth of its 2020 budget every month — and investment is currently on...