Federal universities suffer a cut of R$488 million in the 2026 Budget

The National Association of Directors of Federal Higher Education Institutions (Andifes) released a statement this Tuesday, 23, informing that the budget of universities and federal institutes for 2026 suffered a cut of R$488 million, which represents a 7.05% reduction in the institutions’ discretionary (non-mandatory) resources.

In a statement, Andifes expressed “deep concern” and stated that the cut promoted by Congress in the Annual Budget Bill sent by the Executive worsens the “already critical” situation of the institutions. The discretionary budget is used to pay water, electricity, cleaning bills, among others, such as the payment of student assistance grants.

THE Estadão asked the Ministry of Education (MEC) about what measures will be taken to restore the cut made by Congress, but has not yet received a response.

According to Andifes, the cuts “affected unevenly among universities and affected all budgetary actions essential to the functioning of the federal higher education network”.

The institution states that one of the most affected areas will be student assistance, which is essential to ensure that low-income students are able to remain at university. In this action alone, says Andifes, R$100 million were cut, which represents a 7.3% reduction in the area’s budget.

“The approved cuts worsen an already critical situation. If there is no recomposition, the budget of the Federal Universities in 2026 will be nominally lower than the budget executed in 2025, disregarding inflationary impacts and mandatory readjustments of contracts, especially those related to labor”, says the statement.

The institution also says that cuts in the Coordination for the Improvement of Higher Education Personnel (Capes) and the Coordination for the Improvement of Higher Education Personnel (CNPq) weaken the country’s scientific development.

“We are, therefore, in a scenario of compromising the full development of teaching, research and extension activities at Federal Universities, of threatening the administrative sustainability of these institutions and the permanence of students in a situation of socioeconomic vulnerability”, says Andifes.

The institution also says that it is working with Congress and the Federal Government to restore the budget.

The fight by federal universities for more budget is old. After facing a turbulent relationship with the government of former president Jair Bolsonaro, the institutions resumed dialogue with the federal government after the beginning of President Luiz Inácio Lula da Silva’s term.

Despite this, they also had to face budget constraints. In May, universities announced a series of savings measures, from cuts in fuel costs to stopping the purchase of computer equipment and airline tickets. The measure occurred due to budget reductions approved by Congress and sanctioned by Lula. At the time, a change in the way transfers were made also strangled funding for universities. After complaints, the federal government announced the restructuring of the budget.