President Rousseff Approves Increase in Funding for Political Parties

04/21/2015 - 10h28

President Dilma Rousseff has sanctioned the Federal Government Budget of 2015 without vetoing the proposal that tripled the amount of money for the funding of political parties, one of their main sources of income, which is currently having difficulties raising financing due to the Federal Police's Car Wash Operation.

In its original project, the government earmarked R$ 289.5 million (U$S95 million) for the fund, but the amount was raised to R$ 867.5 (U$S 286) million by the Budget rapporteur in the Congress, Senator Romero Jucá (PMDB-RR).

At a moment of fiscal adjustment to rebalance public expenditure, the natural way would have been to veto the proposal. But the political recommendation was to maintain the new value to please the president's support base in the Congress.

Also, it would only be technically possible to veto the entire fund, not only the added amount.

The presidents of the government-supporting parties even sent a letter to Rousseff requesting the funds to be sanctioned. All are working with reduced donations from private companies after the Car Wash Operation, which is investigating embezzlement at Petrobras. Contractors have already informed party managers that they will not donate any money in next year's municipal elections.

The party fund is used to pay for the parties' expenses. Each party defines how it will use the money. Many use it in their campaigns in addition to private donations.

Now, after the sanction of the Federal Government Budget, which will be sent to Congress on Wednesday, April 22, Rousseff will meet with her economic team to decide how much will be blocked to guarantee the meeting of this year's primary surplus.

Translated by THOMAS MUELLO

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	Beto Barata/Folhapress
	President Dilma Rousseff in a meeting with members of the brazilian Congress