Brazil Economy Minister Guedes Agrees with Supreme Court Debt Proposal

Brazil Economy Minister Paulo Guedes said on Monday he agrees with the solution proposed by the president of the Supreme Court, Luiz Fux, for payment of court-awarded debt owed by the government, Reuters reported. The Supreme Court proposed last week that instead of paying the debt in installments, the government make sure the volume of payments does not exceed the budget spending ceiling. The proposal would reduce by around 50 billion reais ($9.6 billion) the total amount the government would have to pay next year. Instead of 89 billion reais, the government would have to pay around 40 billion reais in court awarded debt next year. Guedes said that he supports the Supreme Court proposal, after meeting with Senate President Rodrigo Pacheco. Speaking to journalists after the meeting, Pacheco said he will meet with Fux on Tuesday to discuss the proposal. House speaker Arthur Lira will also be at the meeting, he said. Read more.