Lula pledges free weekend transit nationwide as Brazil runoff nears

BRASILIA, Oct 15 (Reuters) - Brazilian ‌President Luiz Inacio ​Lula ​da Silva said on Thursday he will send Congress a constitutional amendment guaranteeing free weekend public transport nationwide, the ‌latest in a series of voter-friendly measures less than two ⁠weeks before Brazil's presidential runoff.

In a video posted on social media, Lula said the ‌program would be funded through ‌congressional budget earmarks. The president did not say when exactly he would send the proposal.

Lula, who unexpectedly trailed right-wing Senator Flavio Bolsonaro ​in the first round, remains narrowly behind in polls ahead of the October 25 runoff.

The proposal adds to a string of measures ⁠aimed at boosting household purchasing power, particularly among lower-income Brazilians, as record indebtedness and rising debt-servicing ​costs squeeze family finances.

The measures have also raised fiscal concerns. With no offsetting cuts announced, economists warn an expanding ​pre-election giveaway package could stoke investor ‌anxiety over public finances, lifting borrowing costs and adding pressure to Brazil's debt trajectory.

On Wednesday, the Senate approved a ⁠government-backed measure ending Brazil's six-days-on, one-day-off work schedule, providing Lula a key legislative win.

In recent days, Lula has also announced debt forgiveness for small entrepreneurs, ⁠along with 5,000 Brazilian reais grants targeting the same audience.

Last week, his government expanded ​fuel subsidies, citing the need to shield consumers from rising global oil prices, while less than a month ago it raised Bolsa Familia benefits by 15%.

Seeking to ‌ease pressure on household finances, the government also announced it would hold an auction to buy and restructure ‌household debt using government proceeds.

Another recent move was a ban on online ⁠betting operators, amid concerns that ‌growing gambling spending has ​strained household budgets and fueled indebtedness.

(Reporting by Marcela Ayres in Brasilia and Fernando Cardoso in Sao Paulo; Editing by ‌Aurora Ellis)

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