Political Bulletin – Week of 16-20/10

Political Bulletin – Dominium Consultancy

Week of 16-20/10


🔷 LOWER HOUSE: the focus of this week will be the vote in the Committee on Constitution and Justice (CCJC) of Rep. Bonifácio de Andrada (PSDB-MG) report, contrary to the proceeding of the denouncement against President Michel Temer, and the ministers Eliseu Padilha (Civil House) and Moreira Franco (General Secretariat). The Parliamentarians considered that the agenda of the plenary will be hindered by the vote of the CCJC. The debate should last about 2 days and the vote should take place between Wednesday and Thursday. The Government must get enough votes to approve the report. The matter then follows to the main floor.


🔷 SENATE: after the decision of the STF that authorized the Congress to endorse precautionary measures against members of parliament, Senators should resume discussions on the case of Sen. Aécio Neves, suspended since September 26 by a decision of the Supreme Court. Everything indicates that there are enough votes for Aecio to return to the Senate. However, the senators who support Aécio want the vote to be secret to avoid further public exposure.


🔷 ECONOMY: Finance Minister Henrique Meirelles meets with Federal Revenue technicians to discuss the impacts of the Supreme Court’s decision to withdraw the ICMS from the PIS/Cofins calculation basis. According to the Government, the withdrawal of ICMS will cause a loss between BRL 20 billion to BRL 50 billion per year. The government is studying to increase the PIS/COFINS rate to compensate for the loss of revenue.


🔷 MERCOSUR-CANADA TRADE AGREEMENT: this week a delegation of Canada arrives in Brazil to negotiate a trade agreement with Mercosur. Last year, Brazil exported USD 2.4 billion to that country, with good participation of industrial products.