Brazil's Lula mulls cabinet reshuffle to increase congressional support

Brazil’s President Luiz Inácio Lula da Silva is considering replacing ports and airports minister Márcio França and social development minister Wellington Dias to reduce dependence on lower house head Arthur Lira.

"The government needs to fuel its base of support, especially in the lower house, to advance its agenda, mainly the fiscal framework, tax reform, the topics associated with transition to a green economy, along with social issues. In this sense, some opposition parties [of the group known as Centrão] become a fundamental part of government effort," André Pereira César, a political analyst at Hold Consultoria, told BNamericas.

A government spokesperson confirmed the cabinet plans to BNamericas, which were first reported by local media. 

Figures from center-right Republicanos and PP could assume the posts. Lira is closer to right-wing forces but has also supported the administration. The relationship turned sour after finance minister Fernando Haddad recently said that the lower house has too much power.

“Lula will not be able to attract all the votes of these parties in congress, but by giving positions to these parties, at least part of them will start to vote in favor of the government and this is important to strengthen its foundations,” Mário Sérgio Lima, senior political analyst at Medley Global Advisors, told BNamericas.

“In the first months of his administration, Lula saw congress approving important topics for the government, but he knows that the government depends on Lira’s support. And since this situation is not sustainable, Lula is trying to get more support from other parties,” said Lima.

Lula is also considering offering key posts at state bank Caixa Econômica Federal to centrists. The bank has always attracted political interest due to its size and activity in key areas, such as infrastructure and water services.

Still, opposition is set to grow, as “right-wing forces will rebuild with other names. Tarcísio [Gomes de Freitas, governor of São Paulo] and Romeu Zema [governor of Minas Gerais state] stand as alternatives in this field and will certainly increase the attacks on the Lula government,” said César.

BOLSONARO 

After winning a fierce election against Jair Bolsonaro in October last year, Lula was thought to confront a recalcitrant congress in which Bolsonaro led the opposition. But Bolsonaro has been unable to mobilize allies.

And in June, the electoral court barred Bolsonaro from public office through 2030, siding with PDT party, which accused the ex-president and his then-running made, Walter Braga Netto, of power abuse and misuse of public media to undermine confidence in the voting system during a meeting with diplomats.

An investigation into Bolsonaro and close advisers selling jewels they received from Saudi authorities while in office is also advancing. These deals would be crimes. Bolsonaro has denied any wrongdoing.

On Thursday, supreme court judge Alexandre de Moraes solicited the bank and fiscal records of Bolsonaro and his wife, Michelle.