Brazilian president cuts cabinet to save money

Brazilian president cuts cabinet to save money

Screen Shot 2015-10-05 at 20.58.36Brasilia – Brazilian President Dilma Rousseff cut eight minister positions, as a money-saving measure, to leave her cabinet with 31 members rather than the 39 it had until now.

According to the changes that Rousseff announced on Friday, her own Workers’ Party lost three ministries and had to settle with nine. Its allies of the centrist Party of the Brazilian Democratic Movement, however, gained one to total seven.

The reform also provides for the elimination of 30 state secretary positions and 3 000 other government jobs.

The salaries of the president and of ministers were cut by 10%, and the ministries’ spending was also limited. The plan seeks to save an annual figure of at least $50m.

Rousseff had originally announced plans to cut 10 ministries. The embattled president has the fragile support of a several-party coalition which is one of the reasons for such a large cabinet.

The Brazilian government needs to implement thorough reforms, due to its deep economic crisis and the gloomy outlook of investors. Cutting back spending in the large Brazilian government is one of Rousseff’s reforms.

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