On the day the 2027 Annual Budget Law (LOA) proposal was sent to the National Congress, the minister of Planning and Budget, Bruno Moretti, reinforced the government's commitment to balancing public accounts. He guaranteed that, if President Lula is re-elected, the administration will not depend on votes in the Legislature to seek the center of the fiscal target.
Moretti clarified that de-indexing the minimum wage increase from other benefits paid by the government, including retirement pensions, is not on the agenda in a possible fourth term of the president. The statement responds to speculation about possible changes in how benefits are adjusted.
The 2027 planning presents a different strategy from previous years, based on spending control and not on increased revenues. The minister stated that the government will not send any new revenue measures or tax increases to Congress, thus avoiding dependence on legislative approvals to ensure fiscal balance.
