Haddad postpones economic measures after attacks by Bolsonaro supporters in Brasília.
"There may be some delay in the announcement. The situation is very complicated," said one of the sources, speaking on condition of anonymity.
haddadBRASILIA (Reuters) - Finance Minister Fernando Haddad is renegotiating with the Chief of Staff's office the timeline for the government's first economic measures after the political world's attention was captured by attacks on the three branches of government in Brasília, raising the risk of delays to the first actions planned by the economic team, three sources familiar with the matter told Reuters.
Under pressure to present concrete actions and assessments regarding the country's fiscal situation, Haddad anticipated that the first announcements would occur this week. With discussions still in the preliminary stages given the new scenario, the plan may change.
"There may be some delay in the announcement. The situation is very complicated," said one of the sources, speaking on condition of anonymity.
Another source within the ministry stated that the week's agenda may change, with a possible postponement of the first measures.
Haddad would still finalize with President Luiz Inácio Lula da Silva the list of actions to be implemented. The areas of focus include a reassessment of federal revenues for 2023 and measures to increase tax collection and cut spending.
Among the measures being studied are an extraordinary incentive to reduce litigation at the CARF (Administrative Council of Tax Appeals) and a reassessment of tax exemptions implemented by the Jair Bolsonaro government.
The minister also requested priority be given to studies of structural reforms, such as tax and fiscal reforms, but these initiatives already had a longer timeframe for implementation. Until last week, Haddad anticipated debate on these issues during the first three months of his administration, with effective analysis by Congress beginning in April.
After radical supporters of former President Jair Bolsonaro invaded and vandalized the Planalto Palace, the National Congress, and the Supreme Federal Court on Sunday, Haddad is personally participating in emergency meetings with President Lula and representatives of other branches of government.
Two other sources in the economic area affirm that the work of the technical staff at the Ministry of Finance continues as normal. While one of them states that the presentation of the actions will still depend on a decision by Haddad and Lula, the other says it hopes that the schedule will not be affected by recent events.
In another area of the economic team that will be impacted by the actions of Bolsonaro supporters, the Ministry of Management and Innovation in Public Services is responsible for the department that administers federal assets. Therefore, this ministry will be responsible for monitoring the assessment of the damage caused by the protesters and the development of a plan to repair the buildings.
On Monday, the Minister of Management, Esther Dweck, was among those scheduled to participate in a seminar on economics at the University of Brasília. Her participation was ultimately cancelled.
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