Emergency Aid may have new installments paid in 2021

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Economy Minister Paulo Guedes should propose the payment of new installments of Emergency Aid at the beginning of 2021. The guarantor is federal deputy Baleia Rossi (MDB-SP), as pointed out by the newspaper O Estado de S.Paulo this Tuesday ( 19).

The signaling of a possible return of the benefit that started to be paid at the beginning of the pandemic of the new coronavirus was given by also federal deputy Arthur Lira (PP-AL), according to Rossi. For him, the comments favorable to the return of the aid, by his competitor to the presidency of the Chamber, only arose after the approval of the federal government, by whom Lira is supported.

On Monday (18th), the deputy from Alagoas mentioned the possibility of extending Emergency Aid for one or two months during a press conference, if the spending ceiling is respected. He also stated that this needs to be done with the approved Budget, after the House Election, scheduled for February 1st.

Also according to Lira, it is necessary to prepare an emergency Constitutional Amendment Proposal (PEC), presenting a series of adjustment measures to defray the return of the aid. One of the suggestions given by the deputy is to cut spending on servers.

Pressure to return the benefit

The increase in cases of covid-19 and the delay in starting vaccination, resulting in new measures to prevent the spread of the disease, including the closure of trade in some regions, are factors that increase the pressure for the return of Emergency Aid, even in the government itself, according to the newspaper.

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However, the publication states that Paulo Guedes’ team will have difficulty finding a way to finance the new installments of the benefit within the Budget, with the possibility of issuing an interim measure (MP) as an alternative.

Created with the aim of mitigating the economic effects during the pandemic, the aid ended in December.

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