Movement in the political center and other weekly topics
This week, the government will send Congress a bill that modifies income taxes for individuals and companies, aside from the taxation of profits and dividends. In the House, we highlight the vote on the Eletrobras provisional measure. The Senate could vote on the provisional measure that increases the CSLL for banks and on a bill that creates a new Refis.
This week's Talking Points:
Movement in the political center
There have been important developments in the lead-up to the 2022 presidential election in recent weeks. Globo TV host Luciano Huck, a potential presidential candidate, announced his withdrawal from the race. Before Huck, former Minister Sergio Moro and João Amoedo (Novo) had already announced their withdrawals. According to polling institutes, these potential candidates had between 13% and 15% of voting intentions all together.
With Dino and Freixo, the PSB gets closer to Lula
After the PSB gained Federal Deputy Marcelo Freixo, who was from the PSOL of Rio de Janeiro, the party also managed to gain the governor of Maranhão, Flávio Dino, who left the PCdoB. The two affiliations strengthen the PSB and bring the party closer to former President Lula’s party, the PT. Dino is emerging as one of the main leaders in the progressive field of the so-called "new generation".
Possible electoral reform
The electoral reform proposal under consideration in Congress may become a legal instrument aimed at saving small parties and candidates that have been cited by the electoral justice ahead of the 2022 dispute. As is well known, any change in electoral legislation must be approved within one year before the upcoming election. In other words, for electoral changes to apply to next year's election, they must be converted into law by October 2 of this year.
The water crisis may impact popularity
Despite the actions taken by the federal government to guarantee the supply of electricity, the general director of the National System Operator (ONS), Luiz Carlos Ciocchi, said recently that the electricity sector will be facing a “worrying” scenario in the second half of this year. Lower House President Arthur Lira (PP-AL) stated that he does not believe the water crisis will lead to a nationwide blackout. However, he believes there may be energy rationing similar to that in 2001. An eventual need for rationing similar to 2001 could bring additional problems for President Jair Bolsonaro, affecting his popularity.
Opposition demonstrations
Opposition and social movements returned to the streets to protest against President Jair Bolsonaro on Saturday. The agenda was the defense of the impeachment of Bolsonaro, the demand for more vaccines and the request for the return of emergency aid payments of R$ 600. There were demonstrations in practically every state, with the largest in São Paulo and Rio de Janeiro. The demonstrations were significant, but smaller than those carried out on May 29.
Now read on...
Register to sample a report