After two years, Bolsa Família benefits set to rise 12.5%

Brasilia, July 16, 2016 – Starting on July 18, payments made to families as part of the Bolsa Família (Family Allowance) program will rise on average by 12.5%, from R$ 162.07 to R$ 182.31. The announcement was made by acting President Michel Temer and Minister of Social and Agrarian Development Osmar Terra on Wednesday morning (29) in Brasília. The increase is above the 9% announced in May by the previous administration, which was never implemented, and exceeds inflation over the past 12 months.

“It may seem like a small amount, but it means a lot to people living in poverty. In Brazil, we have wealthy, middle class, poor, and extremely poor people. As long as there is extreme poverty, we need programs like this,” asserted Temer.

In his speech at the Planalto Palace, the acting president underscored how the government is working to improve family income so that the program will no longer be needed in the future. “Bolsa Família is not a lifelong program. Our goal is to reach a point in time where it is no longer necessary.”

Ubirajara Machado/MDS

Minister Osmar Terra recalled that the Bolsa Família grants had not been adjusted for two years and that, due to the effects of inflation, purchasing power has declined considerably. According to Terra, it is possible that some families receiving Bolsa Família benefits could still fall below the extreme poverty line.

He also noted that the adjustment is proof that social policies are a top priority for the Temer administration. “This increase is a challenge that President Temer set for us. Our Ministry is now in a position to offer this adjustment and guarantee it until the end of the year. We are doing what we can” he affirmed.

The decree signed by the President also raises the extreme poverty and poverty lines, which will go from R$ 77 to R$ 85 and from R$ 154 to R$ 170, respectively. Beneficiaries will start receiving the adjusted amounts in their July transfers. With this raise, the program’s monthly budget allocation will rise from R$ 2.23 billion to R$ 2.5 billion.

Press Office – MDSA