Public sector has a primary deficit of almost R$33 billion in May, reveals BC
It was the worst result for the month since 2020
O Public sector consolidated (Central Government, States, Municipalities and State-owned companies, with the exception of Petrobras and Eletrobras) presented a primary deficit of R$ 32.993 billion in Mayinformed this Friday, 29, the central bank. It was the worst result for the month since 2020 (a deficit of BRL 131.428 billion), at the height of the economic effects of the covid-19 pandemic. The BC historical series started in December 2001.
In April, a surplus of 38.876 billion had been recorded and, in the fifth month of 2021, the negative balance was R$ 15.541 billion. The primary balance reflects the difference between public sector revenues and expenditures, before interest payments on the public debt.
The BC released its fiscal statistics again this Friday after the end of the strike by the agency’s servers, earlier this month. Unlike credit notes and the external sector, public accounts data up to April were included as an essential service during the category stoppage due to Fiscal Responsibility Law (LRF) obligations.
Even so, the statistics are still out of date, as, at this point, the BC should be publishing data for June. According to the head of the BC Statistics Department, Fernando Rocha, the expectation is that, in August, the fiscal information will be up to date.
The consolidated primary surplus in May was within the range of estimates by financial market analysts heard by Projeções Broadcast, which ranged from a deficit of BRL 60,000 billion to a surplus of BRL 20,000 billion. The median was negative at R$ 25.297 billion.
The May fiscal result was composed of a deficit of BRL 40,018 billion by the Central Government (National Treasury, Central Bank and INSS). On the other hand, regional governments (states and municipalities) positively influenced the result with R$ 7.332 billion in the month. While the States registered a surplus of R$ 5.786 billion, the municipalities had a positive result of R$ 1.546 billion. State-owned companies registered a primary deficit of R$ 307 million.