The Lower House of Brazil has approved a bill limiting the control of the budget by Jair Bolsonaro

The leaders of Lower House of Brazil agreed to vote on a bill that undermines the control of the government budget, which is a blow for the president Jair Bolsonaro at a time when he is trying to overcome recent crises and gain support for his own legislative agenda.

CEP (Proposal of amendment to the Constitution) limits the ability to freeze expenses and move freely lpublic funds. It was voted by a large majority and must now be dealt with by the Senate.

The decision arises amid doubts on the future of a separate constitutional amendment that will reduce spending on pensions, which is the government's priority bill.

Budget cuts would be a reprimand for Bolsonaro and exacerbate political turmoil this involved his administration. Since he took office almost three months ago, Popular support for Bolsonaro has collapsed, has beaten with badistants and lost the support of a key sponsor of the pension project. Investors have warned that if the spending is not controlled, local badets will collapse and bring the country closer to insolvency.

"The constitutional amendment on the budget in support of all parties", said Tuesday to the press the president of the lower house, Rodrigo Maia.

At the present time, when Congress approves the annual budget, the executive retains some flexibility in the way funds are spent. With the bill pbaded in the lower house, Bolsonaro Should Request Congressional Approval Every Time His Administration Modifies Budget Plans.

(With information from Bloomberg)