Why does the Brazilian aid queue keep growing?

Since the end of 2021, when Auxílio Brasil replaced Bolsa Família, the Ministry of Citizenship has confirmed massive adherence to the program. Instead of reducing the queue to zero, the number of people waiting to get on the payroll appears to be increasing.

In June, more than 1.5 million families joined this queue. This means the number has doubled compared to two months earlier. More than 130,500 live in the country's capitals, Rio de Janeiro and São Paulo.

According to the director of FGV Social, Marcelo Neri, the movement can be explained by two reasons: general impoverishment and the impact of inflation on Brazilian income. Furthermore, the increase in monthly installments from R$ 400 to R$ 600 attracted people who were left without financial support after the end of emergency aid.

Furthermore, Neri explains that this queue in the country and in the capitals is a result of the impoverishment of the population in the last two years. And also the offer of more generous support amounting to R$ 600. Although the unemployment rate has fallen, the inflation-driven rise in the cost of living is outpacing the recovery in the labor market.

The latest new poverty map released by FGV shows that poverty reached 29.6 of Brazil's total population in 2021. During this period, 62.9 million Brazilians started to live with a per capita monthly income of up to 497 R$ 9.6 million more than in 2019.

To give you an idea: in São Paulo, for example, the high poverty rate in the capital was 5.2 in the period above. In the state, the increase reached 4.54. The poverty index closed last year at 17.9 in the richest state in Brazil.

Pedro Henrique

Website writer, trained in advertising, always bringing the best news, tips, applications and finance to the reader. I believe that education and information move the world.