Eduardo Braga, the Brazilian Democratic Movement’s (MDB) leader in the Senate, has been named rapporteur for Brazil’s 2027 annual budget bill in the Joint Budget Committee (CMO). The proposal will be reviewed by the committee before being put to votes in the Senate and Chamber of Deputies.
The government of President Luiz Inácio Lula da Silva submitted the bill to Congress in late August. It forecasts a surplus of R$18.6 billion for 2027, but will need to be adjusted to include measures announced before the election, including a program to buy family debt and an increase to Bolsa Família benefits. The size of the changes has not yet been determined. They are expected to be submitted to the CMO through a modifying message after Braga’s appointment is formalized.
Senate President Davi Alcolumbre announced Braga’s selection at a meeting with party leaders on Tuesday, the 3rd. Braga will also report in the Economic Affairs Committee on a resolution concerning the Contribution on Goods and Services (CBS).
Braga is viewed within the government as a senator who can engage with the economic team and work across party leadership. He previously reported on the government’s tax reform in the Senate, which Congress approved in 2024.
The budget bill sets out government spending and investment. Its approval must be preceded by the Budget Guidelines Law (LDO), whose rapporteur has not yet been appointed. Party representatives in the CMO met on Tuesday to discuss a timetable for the proposals and the LDO report, but left that appointment until Wednesday, the 4th, after Alcolumbre formalizes the nominations.
The timetable is tight: both proposals must pass through the CMO and receive votes in both chambers by December 22. The LDO appointment is expected to go to a senator; in 2025, the role went to a member of the Chamber of Deputies.
The report also notes that Brazil began 2025 without an approved budget. After months of delays linked to the suspension of payments for parliamentary amendments, Congress passed only the LDO the previous year. That law set a monthly spending limit of one-twelfth of the discretionary amount in the budget proposal, allowing spending to continue in the first months of the year. The 2025 annual budget was approved in the second half of March.
Sources: Folha Mercado.