Pacheco says he considers Haddad’s statement about Congress unfair

The President of the Senate, Rodrigo Pacheco (PSD-MG), responded to the statements made by the Minister of Finance, Fernando Haddad, about the fiscal responsibility of Congress this Saturday (27). “It’s one thing to have fiscal responsibility, it’s quite another to demand that Parliament fully adhere to what the Executive thinks about Brazil’s development,” said Pacheco, in a statement sent to the press. The senator stated that he considers Minister Haddad’s statement regarding Congress to be unnecessary and unfair. “Minister Haddad’s admonition, for whom I have respect, is unnecessary, not to mention unfair to Congress,” he declared.

In an interview with the Folha de São Paulo newspaper, Haddad criticized the lack of fiscal balance in the Executive and Legislative branches. “Not long ago, creating expenses and foregoing revenue were exclusive acts of the Executive Branch. The Supreme Court said that Parliament also has the right to do the same. But what is the imbalance? The Executive has to respect the Fiscal Responsibility Law, and Parliament does not,” he said.

Haddad stated that the “Executive cannot impose its agenda on the Legislative” and cited as an example proposals that were “dehydrated” by the National Congress. Among them is the one that provides for the extension of payroll tax relief for companies and city halls, a measure that was questioned by the government in the Federal Supreme Court (STF) and five magistrates have already voted for it to be suspended.

Crisis between Powers

The payroll tax exemption, created during the administration of former president Dilma Rousseff, was extended several times and extended to city halls. However, President Lula’s veto of the text approved by Congress in 2023 generated friction.

The crisis between government and Congress worsened with the suspension of sections of the law that extended the payroll tax exemption. The Senate sued the STF against the preliminary decision and pointed out mistakes in the factual assumptions made by minister Cristiano Zanin. Other controversial votes by the court on issues such as time frame, decriminalization of drugs and legalization of abortion also contributed to the tension between the Powers.

More highlights from Pacheco’s note

In the note, Rodrigo Pacheco also highlighted the importance of generating wealth and jobs. “Progress is based on the generation of wealth, technology, credit, opportunities and jobs, not on the burden on business, production and labor”, he informed.

The senator also emphasized that measures such as the spending cap, pension reform and legislative milestones, such as basic sanitation, are achievements of Congress. He also mentioned the 2023 agenda, which resulted in record revenue for the Brazilian state.

*Report produced with the help of AI