[by:www.51voa.com] [00:00.00]¸ü¶àÌýÁ¦Çë·ÃÎÊ51VOA.COM [00:00.32]Brazil is seeking to reduce a budget deficit [00:03.96]that led to a drop in the country's credit rating last week. [00:08.72]On Monday, the government announced spending cuts and tax increases [00:14.48]totaling almost $17 billion. [00:18.96]The government said it plans to bring back the CPMF, [00:23.60]a tax on financial transactions. [00:28.15]The government hopes to raise more than $8 billion next year [00:33.80]if Congress accepts the tax. [00:37.84]However, many lawmakers oppose the measure. [00:42.48]Other proposed cuts would reduce government aid for farmers, [00:47.88]infrastructure improvements and pay for government employees. [00:53.68]Public health and low-cost housing programs could also face cuts. [01:00.28]The government reduced tax subsidies for the chemical industry. [01:05.80]It also reduced aid for exporters of manufactured goods [01:11.12]and raised taxes on capital gains, profits from sales of investments. [01:18.68]The most recent measures are meant to cut a deficit in the budget next year. [01:24.84]Brazil's economy has shrunk for the past six months. [01:29.68]That means its economy is in recession. [01:33.64]At the same time, President Dilma Rousseff [01:37.20]has experienced a drop in popularity. [01:41.72]Opposition members in Congress [01:44.08]dismissed the cost-cutting measures as too little. [01:48.36]Some are calling for the president to resign. [01:52.96]The Reuters news service reports that economists have said [01:57.32]the expected savings look promising. [02:00.64]However, it remains unclear [02:03.52]if the measures will clear Congress without amendments. [02:08.44]The speaker of Brazil's lower house of Congress, Eduardo Cunha, said [02:15.32]the president's administration lacked the support needed in Congress [02:20.04]to approve the proposed return of the CPMF tax. [02:26.36]The head of the Brazilian Senate, Renan Calheiros, [02:30.64]said deeper cuts were needed to reduce the size of the federal government [02:36.28]before Congress will agree to more taxes. [02:40.84]Government officials also say 10 ministries will be closed to save money. [02:47.60]The proposed reduction in public health and housing spending [02:52.36]will be difficult for supporters of President Rousseff. [02:57.44]Her Workers' Party has resisted cuts to social programs. [03:02.60]Predictions of a big budget deficit in 2016 [03:07.96]caused Brazil to lose its high credit rating last week. [03:13.08]The rating agency Standard & Poor's no longer considers the country's credit rating as investment grade. [03:23.00]The downgrade means some foreign investment funds [03:27.84]and other large investors may be forced to sell Brazilian government bonds. [03:34.20]However, the value of Brazilian money, the real, [03:39.12]increased on news of the cost cutting measures to reduce the deficit. [03:45.40]I'm Mario Ritter.