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President Lula signs the 2026 budget at his desk, vetoing R$400 million in amendments amid political tension.
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Lula sanctions 2026 budget with veto of R$ 400 million in amendments

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President Luiz Inácio Lula da Silva sanctioned the 2026 budget on Wednesday (14/1), vetoing about R$ 400 million in parliamentary amendments for breaching transparency rules. The decision, published in the Official Gazette, could spark tensions between the executive and legislative branches in an election year, with another R$ 11 billion to be reallocated or blocked. The budget totals R$ 6.54 trillion, including fiscal targets and boosts for social areas.

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