Politics · Brazil · 4 hrs ago
Researcher says Lula's measures could worsen Brazil's economic and institutional crises
Brazil’s government has proposed free public transport on weekends, to be funded through a constitutional amendment sent to Congress.
Researcher Marcos Mendes of Insper says the proposal and other measures announced by President Luiz Inácio Lula da Silva lack enough technical study.
He says there is not enough reliable information about transport costs and operator revenues to justify increasing public subsidies.
Mendes also criticizes government and oversight institutions for not adequately assessing the measures, and says this weakens checks on government power.
He warns that the broader package could raise inflation, interest rates and household debt, while economic growth approaches zero.
The government plans to send the transport proposal to Congress, but the text gives no date for that step or outcome of a vote.
Insper associate researcher Marcos Mendes said Lula’s package of measures could worsen Brazil’s economic and institutional crises.
Mendes said the measures could have electoral impact but lacked sufficient technical studies to assess their effects.
The government’s proposed free public transport would make collective transport free on weekends and would require a constitutional amendment sent to Congress.
Mendes warned that the measures could increase inflation, interest rates and household debt, and said the economy was heading toward growth close to zero.
He also criticized weak oversight of transport concessionaires and what he described as institutional inaction.
- Who
- Marcos Mendes, an associate researcher at Insper, assessed the measures announced by the federal government.
- What
- Mendes said the measures could worsen Brazil’s economic and institutional crises. They include a proposal for free public transport on weekends.
- When
- CNN Brasil published the report on October 16, 2026.
- Where
- Brazil.
- Why
- Mendes said the measures lacked sufficient technical studies and could increase economic risks, while oversight and institutional checks were inadequate.
This story does not have two clearly opposing sides.
The federal government announced a proposal to make public transport free on weekends.
CNN Brasil published Mendes’s assessment of the government’s measures.
- Researcher
- Marcos Mendes, associate researcher at Insper
- Transport proposal
- Free collective transport on weekends
- Legislative route
- A constitutional amendment would be sent to Congress
- Economic outlook
- Mendes said growth was heading toward very close to zero
- Publication date
- October 16, 2026
What people are saying
A swarm of measures, all of them with electoral impact, without any technical research behind them
The institutions are not functioning
The Fiscal Responsibility Law is being absolutely disrespected in broad daylight, nobody does anything, so democracy itself is not functioning with its checks and balances
The economy is heading toward growth very close to zero