Brazil posts U$2.8 billion surplus in April
After posting deficits for two months straight, the so-called consolidated public sector of Brazil—the Union plus the state and municipal governments—ed a positive figure in the public s for April, according to data released Tuesday (May 31) by the Central Bank. The primary surplus—revenues minus costs, interest not considered—stood at $2.8 billion, the lowest surplus for the month since 2004 ($2.6 million).
Despite April's positive result, the country saw a primary deficit of $38.7 billion in the 12-month period ending in the same month, which represents 2.33% of Brazil's gross domestic product. In the first four months this year, the public sector posted a primary surplus of $1.23 billion.
Central Bank Economic Department head Tulio Maciel
According to Central Bank Economic Department head Tulio Maciel, April is known as a usually “favorable” month, with higher collection of taxes, like the income tax. Nonetheless, he noted, it was the downturn in the country's economic activity which led to the reduction in government revenues.
On May 27, acting President Michel Temer ed a bill changing the Law of Budgetary Guidelines for 2015 to include the new fiscal target, a primary deficit of up to $45.5 billion in the public s. To meet that goal in the consolidated public sector, the federal government is expected to post a primary deficit of $46.37 billion.
Translated by Fabrício Ferreira
Fonte: Brazil posts U$2.8 billion surplus in April
