Aid Brazil is 125 reais behind in relation to emergencies - EZFICE

Aid Brazil is 125 reais behind in relation to emergencies

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The next increase in Auxílio Brasil, which is now from 400 reais to 600 reais, was postponed by 125 reais in relation to the terminated emergency aid paid between April and August 2020. What happened was that two years of inflation grew significantly, starting to reduce the purchasing power of Brazilians.

Product prices have risen 20,7% since April 2020, according to broad data from the Broad National Consumer Price Index (IPCA), which is measured by the Brazilian Institute of Geography and Statistics (IBGE) and represents official inflation from the country. until June 2022.

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According to IBGE data, the increase was 5,49% in June alone, and the accumulated increase was 11,89% in the last 12 months.

Basic food basket prices fall, aid from Brazil rises

Auxílio Brasil, currently quoted at 400 reais, will increase to 600 reais – an increase of 200 reais from August. The government also intends to eliminate the predicted number of households, currently 1,6 million.

Despite the increase, a survey carried out in May by the Inter-Union Department of Statistics and Economic Research (Dieese) showed that the new value of the benefit could not buy basic food baskets, depending on the city where the beneficiary lived.

“In fact, by not keeping up with inflation, the Auxílio Brasil target will not be achieved. Inflation in Brazil has been rising and is now artificially slowing down, which will affect future results”, Economist and Faculty Ricardo Macedo, Professor Hélio Alonso (Facha) explains.

In January, the price of a basic food basket reached R$777,93 in the capital São Paulo, R$772,07 in Florianópolis, R$768,76 in Porto Alegre and R$723,55 in Rio de Janeiro Yar. Among the cities with the lowest amount of food needs are João Pessoa, with a basket worth R$567,67, and Aracaju, worth R$548,38.