Brazil's Lula administration releases only R$34.7 bn from FGTS, far less than prior governments

Data released by the Ministry of Labour and Employment show that the administrations of Michel Temer and Jair Bolsonaro authorized withdrawals totalling R$168.9 billion from the Fundo de Garantia do Tempo de Serviço (FGTS), roughly five times the amount released under President Luiz Inácio Lula’s government, which has so far approved R$34.7 billion.

The earlier governments used four provisional measures, including one during the COVID‑19 pandemic, reaching an average of 37.8 million workers per measure. Lula’s three measures target specific emergencies and have reached about 11.9 million workers each, reflecting a narrower scope. The contrast highlights differing policy approaches: broader liquidity injections previously versus more targeted social assistance under the current administration.