Brazil's lower house approves new fiscal rules bill, sends to Senate


FILE PHOTO: Brazil's President Luiz Inacio Lula da Silva gestures as he takes part in an event organized by labour unions during International Workers' Day, in Sao Paulo, Brazil May 1, 2023. REUTERS/Amanda Perobelli

BRASILIA (Reuters) - Brazil's lower house on Wednesday approved a new fiscal framework bill, a major victory for President Luiz Inacio Lula da Silva's administration as it tries to balance public accounts while taming explosive debt growth.

Lawmakers in the chamber voted 372-108 to pass the main text of the bill on late Tuesday that is set to replace Brazil's current spending cap, which has been breached several times in recent years to allow higher government spending.

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