Lula calibrates economic plan without renationalization and zero tariffs amid fiscal pressure

Last year, the president asked the then Minister of Finance, Fernando Haddad (PT), for calculations for the implementation of zero or symbolic fares for bus fares in the country. But, according to reports, the president himself determined that the proposal would not be included in the program without a more in-depth study of its economic feasibility.

Another point defended by PT wings, the re-nationalization of services such as fuel distribution, should remain outside the government plan, as per Lula's own guidance.

In June, the coordinator of the government program, José Sérgio Gabrielli, defended that Petrobras resume distribution. Although the plan proposes a strategic role for the state-owned company, as an instrument of energy sovereignty, renationalization will not be included in the text.

According to reports, Lula determined the elaboration of a workable platform, with the responsibility of whoever is in charge of the Executive. Within this logic, the proposal to implement a full-time school should not present physical goals, but the promise of achievement.

As Folha de S.Paulo showed, the escalation of public debt intensified PT members' concerns and support for the president to publicly commit to fiscal rules in a possible fourth term.

Over three and a half years of the current Lula government, the gross debt stock jumped 10.2 percentage points, to 81.9% of GDP (Gross Domestic Product) in June this year, reaching R$10.8 trillion.

Although without using the expression "adjustment", the plan will point to the commitment to control inflation and continue the trajectory of fiscal results in search of a reduction in interest rates, with the aim of attracting private investment in the country.

One of the 13 axes will seek to expand the debate on expenses, including the defense of a pact between the Powers to reduce mandatory spending. The idea, according to participants in the debate, is to propose a reform of the Judiciary and qualification of parliamentary amendments, selling it as a solution in a joint effort aimed at lowering interest rates.

The sovereignty chapter presented to the president addresses topics ranging from the exploration of critical minerals to the regulation of big techs.

Scheduled to speak in the financial market and with agribusiness representatives, the Minister of Finance, Dario Durigan, commissioned two technical studies for the executive secretary of the department, Rogério Ceron, and the secretary of Economic Policy of the ministry, Débora Freire on the scenario to present to the PT member.

With the support of PT president, Edinho Silva, Durigan was tasked with speaking to the market after a negative reaction to statements to Folha de S.Paulo by Gabrielli, stating that fiscal adjustment is not the only instrument to contain inflation.