Brazil needs $3.95B budget reshuffle for Lula’s 2027 policies

TREE NEWS update: Brazil’s Ministry of Planning and Budget said Monday that the 2027 budget will require about 20 billion reais ($3.95 billion) in budget restructuring to fund policy initiatives recently announced by President Luiz Inácio Lula da Silva, who is seeking re-election in next Sunday’s presidential vote. The ministry said in a statement that the amount is just over 1% of total recurring spending subject to the expenditure cap under Brazil’s fiscal framework, and that adjustments will be made while maintaining the overall spending cap and the government’s primary budget target.