Power

Brazil to draft 2022 budget before approving this year’s proposal

The 2021 federal budget is grossly overdue. Amid the chaos, the Bolsonaro administration has already submitted its budget draft for 2022

2022 budget 2021
Image: Loseva Marina/Shutterstock

Approaching the end of April, the Brazilian government has yet to approve a federal budget for this year. However, amid the chaos, the administration submitted the budget guidelines law (LDO) for 2022.

According to the Constitution, the LDO for the following year must be presented by April 15 and approved by mid-July. Akin to a “draft budget,” the LDO sets out financial parameters and fiscal targets for the next year.

While the government has submitted these guidelines on time, the move served to showcase the sheer extent of delays on the 2021 federal budget. Congress approved an “unworkable” financial...

Access all of The Brazilian Report
Start your 7-day free trial.
Free trial