Brazil government rolls out MEI limit raise, R$140 bn industry fund and tax‑cut push

The Lula administration is advancing several economic measures. A bill to raise the annual revenue ceiling for Micro‑Entrepreneur Individual (MEI) registrants from R$ 81 000 to roughly R$ 130 000 – and to allow hiring a second employee – will be sent to the Chamber of Deputies this week, with leaders saying the proposal seeks fiscal balance while supporting small‑business growth.

At the same time, the federal “Nova Indústria Brasil” programme received an additional R$ 140 billion in financing – R$ 102.5 billion from BNDES and R$ 37.5 billion from Finep – bringing total resources to about R$ 750 billion for strategic sectors such as fertilizers, agricultural machinery, bio‑pharmaceuticals, artificial intelligence, critical minerals and sustainable mobility. The programme aims to restore industrial capacity, attract private investment and strengthen national productive sovereignty.

A separate industry survey by the Confederação Nacional da Indústria (CNI) identified tax reduction, consolidation of the tax reform and fiscal balance as the top priorities for the next government term, reflecting business concerns about the “cost of Brazil”. Over 1,000 executives voted for lower taxes and a stable fiscal framework as essential for investment and growth.