Lula wants to expand policies for the middle class, says newspaper
In internal meetings at Palácio do Planalto, the president Luiz Inácio Lula da Silva expressed concern about the predominance of social programs aimed at low-income people, according to the newspaper The Globe. The president reportedly stated that many of the government’s efforts are concentrated on the beneficiaries of the Single Registry (CadÚnico), made up of 43 million families in situations of poverty and extreme poverty. Lula wants to expand the reach of social policies to also include the middle class, with the aim of serving a more diverse and heterogeneous public compared to previous mandates.
Second The Globethe Ministry of Education has been studying scenarios to expand the “Pé-de-Meia” program to all high school students in public schools, which would include around 2 million new beneficiaries. The expansion, however, faces fiscal challenges in a context of spending cuts. Still, the program is well evaluated by the government and is seen as one of the main innovations of Lula’s third term, with the Minister of Education, Camilo Santana, promoting the project in several regions of the country.
This expansion of the program, according to the newspaper, would be in line with Lula’s desire to strengthen ties with the middle class through investments in education. The president has already publicly expressed his intention to build a “country with middle-class standards of consumption, education and transportation”, a phrase he said in a speech at the beginning of the year. The strategy seeks to bring the government closer to a public that today values economic stability and better growth opportunities.
Another front that the government plans to expand, according to The Globeis export support for small entrepreneurs. The Brazilian Export and Investment Promotion Agency (Apex), led by Jorge Viana, signed agreements with business entities and Sebrae to assist micro and small companies, with a special focus on the North and Northeast regions, in preparing export strategies. Currently, these companies represent around 41% of the total number of exporting companies in Brazil, according to data from Sebrae, and the expectation is that the expansion can further strengthen the sector.
Stuck promises and fiscal challenges
While the government works to attract the middle class with new proposals, some campaign promises remain without progress. Among them is the expansion of the Income Tax exemption range for incomes of up to R$5,000, a promise that Lula intends to implement by 2026. Today, the exemption only covers those who receive up to two minimum wages, and the expansion of the benefit depends on the approval of spending cuts to adapt to the new fiscal framework.
Another sensitive point is the regularization of the profession of app drivers, an issue that generated wear and tear after the presentation of a project in Congress that led to protests and opposition within the government itself. According to the newspaper, the Ministry of Labor still has no plans to vote on the proposal, while this group is increasingly approaching right-wing political forces.
In relation to other actions, the government made progress in combating interest on revolving credit cards, with the National Monetary Council (CMN) establishing a ceiling of 100% for rates on unpaid debts. This measure limits the maximum debt amount to twice the original amount, which should alleviate the impact of debt for consumers.
The newspaper The Globe It also highlights that the government has the challenge of connecting with workers who earn 2 to 10 minimum wages, a range that, according to the Minister of Institutional Relations Alexandre Padilha, does not currently feel represented by the PT. “The PT has a debate to have with workers, especially those who earn 2 to 10 minimum wages, who for some reason do not feel represented,” said Padilha, highlighting that the government is attentive to the demands of this public and changes in priorities since Lula’s first term.
