Lula Sanctions 2026 Budget With R$61 Billion in Amendments and Midyear Payout Mandate

Overview

• The law requires the federal government to disburse 65% of mandatory amendments by the end of the first semester of 2026, covering individual, bancada and special transfers known as emendas Pix.
• Of roughly R$61 billion reserved, R$49.9 billion stays under congressional control, including R$37.8 billion in impositive amendments (R$26.6 billion individual and R$11.2 billion bancada) and R$12.1 billion for commissions, plus R$11.1 billion in additional discretionary parcels.
• Lula vetoed a congressional change that would have increased the Fundo Partidário by about R$150–160 million, kept the fund near R$1.4 billion, and blocked the release of certain ‘restos a pagar’ and an expansion of non-contingenciable expenses.
• The approved budget totals about R$6.5 trillion, targets a primary surplus around R$34.3–34.5 billion, and sets a minimum public investment floor of R$83 billion tied to the fiscal framework.
• Heightened scrutiny of emendas Pix continues under STF rulings by Flávio Dino, with CGU audit findings sent to the Federal Police and PGR charges against deputies moving toward STF proceedings in 2026.