BWI demands the resumption of investment in low-income housing in Brazil
In order to understand the main aspects of the current Brazilian housing deficit and measure the reduction of resources for public policies aimed at the housing issue, the Building and Wood Workers’ International (BWI), in partnership with FES, FETRACONSPAR, CONTRICOM and DIEESE, produced a document that analyzes the Economic Impacts of Cuts in the Casa Verde Amarela Program (substitute of the Minha Casa Minha Vida Program).
The Brazilian housing deficit was 5.9 million households in 2019, that is, 8% of the total number of households in the country. Despite this, the federal government drastically reduced the resources allocated to housing construction and reduced this deficit.
With the new Program, the government went from an annual average of 11.3 billion Reais (from 2009 to 2019) to just 27 million Reais in investment, until August 2021. According to the analysis produced by the BWI, it is estimated that, with the reduced investment, the Casa Verde Amarela Program stopped generating 365,040 jobs, collecting 2.8 billion Reais in taxes and preventing the growth of the value added by 16. 2 billion Reais in the Brazilian economy. It also prevented the growth of wages by 5.7 billion Reais in salaries and 1.2 billion Reais in social security and FGTS collections.
Read the study here in Portuguese.