Power

Guedes asks for help to make budget ends meet

Economy Minister Paulo Guedes is seeking permission to use "flexible" deficit targets for 2021. The practice is an impeachable offense

Guedes asks for help to make budget ends meet
Economy Minister Paulo Guedes. Photo: Alan Santos/PR

Despite a record-smashing GDP growth rate of 7.7 percent in the third quarter, the immediate future of the Brazilian economy remains uncertain. We are two weeks from the end of the legislative year and the 2021 budget has yet to be approved. Meanwhile, the government has been unable to propose a welfare program that would replace the coronavirus emergency salary — the massive stimulus program that prevented an even bigger economic downfall amid the pandemic.

Major signs of uncertainty can be gleaned from the recent public declarations of Economy Minister Paulo Guedes.

The Chicago School-educated libertarian...

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