Brazil's finance minister expected to step down next week, sources say

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BRASILIA, March 9 (Reuters) - Brazilian Finance Minister Fernando Haddad is expected to step down by the end of next week ​to run for governor of Sao Paulo state as pushed ‌for by President Luiz Inacio Lula da Silva, four sources told Reuters on Monday.

Haddad has not yet had a final conversation with Lula about running ​for governor, one of the sources said, but the two ​have been speaking frequently about the matter.

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The move was ⁠reported by newspaper O Globo earlier in the day. The finance ​ministry declined to comment.

Lula’s push for Haddad to run in Sao ​Paulo reflects the president’s need for a strong presence in a state that often votes heavily for the right-wing opposition. A weak performance for the leftist ​leader in Sao Paulo could undermine his presidential campaign, according ​to his party.

Haddad had not planned to run for office this year and previously ‌voiced ⁠his intention to serve as one of the coordinators of Lula’s re-election campaign.

Sources told Reuters, however, that expectations of a tough election for the president have put pressure on Haddad to become a candidate ​in Sao Paulo.

A Datafolha ​poll released ⁠over the weekend showed that a potential second-round runoff between Lula and Senator Flavio Bolsonaro, the eldest ​son of former President Jair Bolsonaro, would result in ​a ⁠technical tie.

Another Datafolha poll focused on Sao Paulo state showed Haddad would take 31% of the vote in a first round against 44% ⁠for Governor ​Tarcisio de Freitas, backed by the ​Bolsonaro family, who defeated Haddad in 2022.

Reporting by Lisandra Paraguassu, Bernardo Caram and Marcela ​Ayres; writing by Isabel Teles; editing by Gabriel Araujo and Deepa Babington

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