Brazil's Bold Move: Free Public Transport and Economic Shifts Under Lula

Brazil's Finance Minister Fernando Haddad announced studies on eliminating public transport fares, responding to President Lula's initiative. This sparked fiscal concerns ahead of elections. The government also plans a tax change to raise funds. Additionally, Brazil seeks resolution in tariff conflicts with the U.S.

In a surprising move, Finance Minister Fernando Haddad revealed that Brazil is exploring the elimination of public transportation fares nationwide. This initiative is spearheaded by President Luiz Inacio Lula da Silva, drawing attention and concern over the country's fiscal discipline as elections loom.

Haddad stressed the significance of public transportation for Brazil's urban workers and confirmed that comprehensive evaluations are underway to explore sustainable financing options. Additionally, a new measure to tax investment income is set to raise substantial revenue, though it faces opposition in Congress.

In international relations, Lula's administration is keen on resolving trade tensions with the U.S., following productive discussions aimed at reducing tariffs impacting Brazil's economy. Ministerial talks are anticipated before a potential meeting between the country's leaders.

(With inputs from agencies.)