Pandemic costs BRL 6 billion for the city of São Paulo

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The impact of the covid-19 pandemic on the accounts of the city of São Paulo has already reached 6 billion reais. This amount is the sum of expenditures in the area of ​​Health with social programs until the month of May. The amount is 25% higher than the total estimated for new investments in 2021, which puts pressure on the budget, consumes part of the surplus accumulated in other years and advances on extraordinary revenues, such as the payment of debts in installments by taxpayers.

With 77 goals to meet by 2024, the current administration – now under the command of Ricardo Nunes (MDB) – has reallocated funds planned to fund the opening of new hospital beds, the delivery of food baskets to the most vulnerable population and the purchase of tablets for students from the municipal network to monitor remote teaching. There is still pressure to expand the subsidy with transport by more than 600 million reais.

Health, obviously, is the most impacted area. After seeing only the cost of services last year grow from 8.8 billion to 11 billion reais (in committed amounts), the resurgence of the pandemic required new emergency supplements and the forecast is to close this year with 12 billion reais of commitment – 22.5% more than initially budgeted.