Beyond Economics: Congressional Initiatives to Fight Coronavirus

RIO DE JANEIRO, BRAZIL – The coronavirus pandemic is spreading rapidly in Brazil, with 200 people already diagnosed with the disease. Although the mortality rate is considered low (3.72 percent), there is latent concern over the impact the outbreak will have on the global economy, which is already at risk of recession.

In Brazil, immediate measures are already underway, such as releasing R$5 (US$1.15) billion from the federal budget to tackle the public health crisis caused by Covid-19, the disease’s official name. The resources will be allocated to the National Health Fund, for actions jointly coordinated by the Ministry of Health and the states and municipalities, and to federal university hospitals.

Local governments such as São Paulo and Rio de Janeiro, which currently report community transmission of the virus, that is, when the origin of the infection in new patients is unknown, have banned events with over 500 people to avoid crowding. Classes in public schools and in some universities will also be suspended.

To contain the pandemic’s devastation, however, the country needs to mobilize on several fronts, ranging from ensuring income for workers affected by the virus to waiving bids for the purchase of goods, services and health supplies to tackle the coronavirus.

Over the past week, legislators and senators discussed a number of proposals in Congress that could help the country during the outbreak of the disease.

One of the proposals, made by Senator Randolfe Rodrigues (REDE-AP), would force insurance companies to honor policies in case of epidemics and pandemics, such as the coronavirus. Today, according to the senator, insurance companies are not required to pay insurance in these cases.

The legislator also intends to propose an amendment to the Constitution that would suspend Constitutional Amendment 95/2016, known as the Public Spending Ceiling Amendment, for two years. “We are under threat of a very serious recession as a result of the coronavirus pandemic, already decreed by the World Health Organization. All economies are looking for a measure to revive and Brazil cannot go in the opposite direction,” said Rodrigues.

Senator José Serra (PSDB-SP) said he has submitted a bill that allows the Workers’ Support Fund (CODEFAT) Deliberative Council to extend unemployment insurance in emergency epidemiological cases. According to the senator, the measure is in line with the International Monetary Fund’s (IMF) recommendation to reduce the social and economic impact of outbreaks like the current one.

“In the case of the coronavirus, it makes no sense to interrupt benefits if the infected person is in isolation and is unable to seek relocation to the job market,” explained the senator when justifying the project.

The chair of the congressional committee that monitors the actions related to the disease, federal Deputy Luiz Antonio Teixeira Jr. (PP-RJ), wants to set the prices of alcohol gel, surgical masks, and other equipment. The committee has already approved an instruction to the Ministry of Health to control the prices and inventories.

Republicans party chair Jhonatan de Jesus, a medical doctor, said the country needs to pay special attention to his home state of Roraima because of the crisis on the border with Venezuela. “Roraima has a double border that is completely open, without an effective health system, which has already begun to spread measles, dengue, and several other diseases. If Brazil doesn’t prepare itself, Roraima could be the great gateway for the virus,” he said.

State of emergency

In February, President Jair Bolsonaro sanctioned the bill approved by the Chamber of Deputies and the Senate, which provides for measures to fight the coronavirus.

In the country, the isolation and compulsory testing of people and the closure of ports, highways, and airports, if required, are allowed.

The law also provides for the exemption of competitive bids for the purchase of goods, services and health supplies requisitioned by the Ministry of Health.

Source: Exame