Temer Offers US$ 3 Billion in Construction Projects in Exchange for Approval of Pension Reform

01/10/2018 - 11h41

Brazilian president, Michel Temer (MDB), will provide his minister in charge of relations with Congress, Carlos Marun (Secretary of Government) with R$ 10 billion (US$ 3 billion) in "ammunition" to gain the votes of lawmakers for the Pension reform.

The amount will be allocated to complete construction projects in the electoral districts of those who vote in favor of the government's bill.

The money would come from savings achieved this year due to the approval of new pension rules.

Government estimates that expenses with benefits which will no longer be paid after the reform will result in savings of approximately R$ 10 billion (US$ 3 billion), if the change occurs in February - the voting in the lower house is scheduled for the 19th.

So far, Marun has resorted to rhetoric and has ensured congressmen that, if the economy moves forward, Brazil moves forward as a whole.

Construction projects which do not require significant funds for completion will be prioritized. They are considered "campaign" projects, likely resulting in votes in their cities.

Among such projects is the duplication of highway Régis Bittencourt, which is almost complete; the second stage of Belo Monte Transmission Line; highway BR-163, in Pará, Vitória (ES) and Macapá (AP) airports, and Rio Guaíba (RS) bridge.

Translated by ANA BEATRIZ DEMARIA

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