Brazil to rise minimum wage from May

President said that his administration would set a new rule for the minimum salary taking into account inflation compensation and GDP growth…reports Asian Lite News

Brazilian President Luiz Inacio Lula da Silva has announced that the minimum monthly wage will increase from the current 1,302 reais to 1,320 reais ($251) starting May.

Lula said that his administration would set a new rule for the minimum salary taking into account inflation compensation and GDP growth, saying “it is the fairest way to distribute economic growth”, Xinhua news agency reported.

Those earning less than 2,640 reais ($505) a month would be exempted from income tax and the exemption level will progress until it reach 5,000 reais ($958), he said.

The tax reduction is high on the new government’s economic agenda.

The President recently presided over the handover of 684 residences to low-income households in the northeastern city of Santo Amaro, marking the relaunch of the housing programme ‘My House, My Life.’

First launched in 2009 during his second term as president, the revived programme aims to deliver 2 million homes to low-income households by 2026, offering financing with subsidies of up to 80 per cent to families with a monthly income of 2,640 reais (about 508 U.S. dollars) or less, Xinhua reported.

During the ceremony in Santo Amaro, Bahia state, Lula authorised the resumption of construction work on more than 5,000 houses across the country as part of the programme.

In all, 2,745 homes were delivered in different towns on Tuesday.

Following Brazilian Carnival celebrations next week, the government is expected to resume another programme, ‘Water for All’ to build cisterns in regions with scarce water supplies.

ALSO READ: India, US, Brazil Join Forces For Global Biofuels Alliance

Leave a Reply

Your email address will not be published. Required fields are marked *