Brazil Senate Hopeful Vows Debt Cap
Brazilian Senator Flavio Bolsonaro plans to introduce a public debt ceiling if elected president. The proposed rule would automatically trigger strict spending constraints whenever debt exceeds a specific threshold.
Brazil's Senator Flavio Bolsonaro will introduce a public debt ceiling if elected president, triggering mandatory spending freezes when liabilities exceed 65% of GDP, a senior campaign adviser said on Wednesday evening. The proposal challenges incumbent President Luiz Inacio Lula da Silva's fiscal framework ahead of the October 4 election. With public debt sitting at 81.9% of GDP, the policy aims to force zero real expenditure growth to stabilize state finances.