Brazil's Cardoso toasts end of Congress session
Reuters, Friday, February 13, 1998 at 13:02
By Joelle Diderich BRASILIA, Feb 13 (Reuters) - Brazilian lawmakers patted each other on the back as a six-week extraordinary session of Congress drew to a close on Friday with a tally of two key reforms passed and a number of important new laws on the books. Bills aimed at streamlining the overstaffed civil service and the loss-making social security system cleared important votes this week after languishing in Congress for nearly three years. Both reforms now stand to be fully approved in March. Local media reported Brazilian President Fernando Henrique Cardoso cracked open the champagne in a private celebration with senior politicians on Thursday night as political analysts forecast the success of the reforms would bolster his chances of re-election in October. "I would like to note the immense effort made by Congress and the extraordinary result of this legislature, which I think I can safely say is comparable to none other in our history...in terms of approving significant laws," Cardoso said on Thursday. The government called the extraordinary session of Congress during its traditional end-of-year recess after the crisis in Asia shone the spotlight on Brazil, making long-awaited structural reforms a priority once again. By attacking two heavy contributing factors to the country's budget deficit, the president hopes to show nervous investors that Brazil is not going to follow Asia into economic turmoil. Deputies and senators took advantage of the session to pass important laws on the environment, traffic, intellectual property rights and a Land Bank to benefit landless workers. Cardoso, speaking Thursday at a ceremony to sign a new environmental bill into law, said the measure would prove to be a turning point in preserving natural resources. It sets down fines of up to $50 million and jail sentences for crimes ranging from illegal logging and killing wild animals to industrial pollution and graffiti. Meanwhile, a new traffic code introduced last month imposed tough penalties on drivers who ignore seatbelts, red lights and pedestrian crossings in an effort to quell the anarchy on Brazil's roads. Congress' extraordinary session also approved the so-called Software Law, which guarantees makers of computer programs copyright for 50 years. And Cardoso, in an effort to appease left-wing opposition parties and the radical Landless Movement, approved the creation of an agricultural bank that will provide loans for landless people to buy property and grow crops. Thousands of demonstrators led by the country's main labor unions took to the streets this week to protest social security reform, saying it represented one sacrifice too many for a work force already facing rising unemployment. The reform seeks principally to introduce minimum retirement ages of 60 for men and 55 for women and to tie pensions to contributions. Brazil is currently one of only seven countries in the world believed not to have minimum retirement ages. The reform, if approved without substantial alterations in March, will cut costs by $1 billion in 1998, but even so the government expects the social security system to go more than $5 billion in the red this year. The government spent $23.2 million on extra pay for deputies, senators and civil servants during the extraordinary session, daily newspaper Folha de Sao Paulo reported on Friday. joelle.diderich@reuters.com))
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