Good morning! Today, Bolsonaro seeks boosted payroll deduction loans as his latest bid for support. President’s son takes “leave” to help his father’s campaign. Coup fears rising among the population.
☕ If you like our work and want to give us an extra boost, you can fill up our reporters’ coffee mugs. Supporters get exclusive perks! Find out more.
Payroll deduction bill is Bolsonaro’s latest move for votes
On Wednesday, President Jair Bolsonaro ratified a bill allowing for recipients of Auxílio Brasil, the government’s flagship cash-transfer program, to commit up to 40 percent of their monthly revenue to automatic payroll deduction loans. The government plans to publish the guardrails regulating contracts before the end of the week.
- The bill raises the limit private workers can commit to payroll deduction loans from 35 to 40 percent of monthly income. For pensioners, the cap is 45 percent.
Why it matters. Additional credit will give a major revenue boost to voters, especially those of low income. The new bill is part of the government’s continuous attempts to generate feel-good factors around the economy.
What they are saying. In a statement, the president’s office said “the goal is to mitigate the effects of the...