Dramatic Veto Episode Shows Bolsonaro Has Problems in Senate
- Episode showed Bolsonaro faces problems in the senate
- Decision expected to relieve investors worried about budget
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Brazil’s lower house maintained a freeze on public sector wages that had been unexpectedly voted down by the senate, concluding a dramatic episode that revealed cracks in President Jair Bolsonaro’s congressional base.
In a 316-165 vote late on Thursday, house representatives upheld a presidential veto on salary raises for civil servants during the pandemic, going against fellow senators who had voted to overturn it. The senate’s decision on Wednesday night sent shock waves through the local market, as investors worried the wage increases could amount to an additional 120 billion reais ($21.3 billion) in government spending.