Brazil Extends Diesel Subsidy at R$2.12/L for 30 Days Amid Middle East Conflict

Brazil's Planning Minister announced the diesel subsidy will be maintained at R$2.12 per liter for another 30 days, using an existing provisional measure to adjust the current R$1 subsidy to the higher level. This extension is driven by the prolonged Middle East conflict, which keeps global fuel prices elevated. The move signals continued fiscal pressure on Brazil's budget and potential inflationary implications, though the exact fiscal cost remains unspecified.