Zema preaches unity and urgency to resolve mining debt

Zema preaches unity and urgency to resolve mining debt
Zema preaches unity and urgency to resolve mining debt
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Romeu Zema (Novo) preached unity and a ‘sense of urgency’ when discussing the state’s debt with the Union during the solemn opening session of work at the Legislative Assembly of Minas Gerais (ALMG) this Thursday (1/2). The governor highlighted the work of the deputies and said that his administration is open to dialogue when citing the Fiscal Recovery Regime (RRF), his initial strategy for the debt of around R$160 billion.

Zema was the first to speak at the session that marks the return of state deputies to work. He closed his speech by discussing the state’s debt, which should be the main topic of Minas Gerais politics in the first half of 2024.

“Today, the biggest concern we have is resolving the debt from the past that persists. Since 2019 we have been debating our Economic Recovery Plan, which considers the ‘RRF’ as the only legal alternative available at the moment. However, like all of you friends, deputies, mayors, civil society institutions, you know, my Government is adept at dialogue and conciliation, and we are always open to other possibilities, which are being discussed or can be presented. I reinforce that, for the good of the miners, it is necessary a faster and more definitive solution, to eliminate any risk of collapse of our State, which would affect the ability to maintain public services, driving away investors and interrupting this growth in development”, said Zema.

Read too: MG and federal government set up working groups to deal with debt with the Union

The RRF was treated by Zema as the only option for mining debt during his first term. Last year, on the eve of the end of the period for suspension of payment of debt installments with the Union, the president of Congress, Rodrigo Pacheco (PSD-MG) entered the field and made viable an alternative that provides for debt negotiation directly with the federal government.

The plan includes issues such as the federalization of companies such as Cemig, Copasa and Codemig; use of values ​​related to the Mariana and Brumadinho agreements; and allocation of funds from losses with the Kandir Law to reduce debt.

The state government found it difficult to approve the RRF in the Assembly. The plan is criticized due to strict austerity measures that provide for only two salary adjustments for civil servants in the nine years of the regime and cuts in public investments.

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