UPDATE 1-Brazil's Rousseff ups social spending as Senate ruling looms

domingo 1 de mayo de 2016 21:02 GYT

(Adds details on rise in social spending)

SAO PAULO May 1 (Reuters) - Brazil's beleaguered President Dilma Rousseff on Sunday vowed to raise spending on her party's signature anti-poverty program in an appeal to her political base, warning that her opponents would slash social expenditure if she is stripped of office.

Left-leaning Rousseff, speaking at a Labor Day rally in the industrial heartland of São Paulo, said her ouster by the Senate next month would open room for a dismantling of labor rules that protect millions of workers in Latin America's largest economy.

A Senate committee is discussing whether to accept a request by the lower house to put Rousseff on trial for allegedly breaking budgetary rules.

If a majority of the 81-seat Senate votes to do so, as expected, Rousseff could be suspended from office as soon as May 11 and her vice president will take over.

Recent polls show that a clear majority of senators favor putting Rousseff on trial for using state banks to fund government programs - an offense that violates Brazil's fiscal responsibility law.

With close aides admitting her suspension looks likely, Rousseff has launched a wave of announcements that appeal to voters of her Workers Party.

On Sunday, she announced an average 9 percent increase in the Bolsa Family cash transfer program and promised a new wave of public housing.

The moves follows data last week that showed tumbling tax revenues led to a widening of the budget deficit in March.   Continuación...