Lula announces 9.8 billion dollar package for flooded Rio Grande do Sul

The Brazilian president, Luiz Inácio Lula da Silvaannounced this Thursday an aid package worth 50 billion reais (9.8 billion dollars) to the state of Rio Grande do Sulaffected by unprecedented floods that have already caused 108 deaths and enormous destruction in the region.

“The entire country is sensitized to serve people as quickly as possible“, declared Lula at the ceremony, in which he insisted that he is”immediate“try urgently”the tragedy” which affects 1.5 million people and keeps 425 municipalities partially submerged.

LOOK HERE: Brazil: death toll rises to 108 and missing to 136 due to floods

The Minister of Finance, Fernando Haddaddetailed the measures that will be proposed to Parliament, which include direct assistance measures, subsidized credits for small and medium-sized companies and assistance to rural producers, salaried workers, the unemployed and beneficiaries of social plans.

Aerial view of floods in Eldorado do Sul, Rio Grande do Sul, Brazil, taken on May 9, 2024. (Photo by Carlos FABAL / AFP) (CARLOS FABAL/)

The package also provides tax exemptions or extended deadlines for paying taxes, and public resources for a “First phase”of the reconstruction of infrastructures, especially bridges and roads necessary to reactivate the economic activity of that prosperous state in the south of the country.

Haddad highlighted that these resources will not affect the calculation of the Government’s fiscal result, which has already been authorized by Parliament, which last week decided in this regard by declaring Rio Grande do Sul in “State of calamity”.

He also clarified that this is a “first action“in favor of the victims, which will be complemented with other measures”,once the waters subside”And you can have a“more real dimension”from the destruction caused by the rains.

MORE INFORMATION: Brazil surpasses 100 deaths due to floods in the south of the country, one of its worst climate tragedies

According to Lula, other measures will be announced next week, which include a renegotiation of Rio Grande do Sul’s debt with the Brazilian Treasury and also in favor of “of people who lost their television or refrigerator“, what “For many they may be small things, but for the poor they are true treasures.”.

The President of the Chamber of Deputies, Arthur Liraassured at the ceremony the “immediate processing” of that proposal, in order to contribute to “alleviate suffering”of the population of the south of the country.

Source: Elcomercio