Brazilian senator files Lula's welfare waiver from spending cap for 4 years

FILE PHOTO: Senator Marcelo Castro poses during an interview with Reuters at the Federal Senate in Brasilia, Brazil November 23, 2022. REUTERS/Adriano Machado

BRASILIA (Reuters) -A controversial proposal to make room for more spending in the 2023 budget under Brazil's President-elect Luiz Inacio Lula da Silva was formally presented to Congress on Monday, providing for a shorter welfare waiver but maintaining its annual impact.

Brazilian Senator Marcelo Castro, the point man for next year's budget, said that he filed a constitutional amendment backed by Lula to exempt the "Bolsa Familia" welfare program from a constitutional spending cap for four years starting in 2023.