Economic news

Brazil government projects 2022 primary surplus of $2.6 billion, first in nine years

2022.09.22 16:37

[ad_1]


© Reuters. FILE PHOTO: Brazil’s Economy Minister Paulo Guedes speaks during a news conference at the Planalto Palace in Brasilia, Brazil June 6, 2022. REUTERS/Adriano Machado/File Photo

BRASILIA (Reuters) – Brazil’s government estimated on Thursday it will post a primary surplus this year, the first since 2013, with public accounts benefiting from booming tax revenue and hefty dividends from state-owned companies.

The Economy Ministry forecast a 13.548 billion reais ($2.63 billion) primary budget surplus for the central government, comprising Brazil’s Treasury, central bank and Social Security, as Reuters reported on Wednesday.

The number sharply contrasts with the primary deficit of 59.354 billion reais seen in July and an official deficit target of 170.5 billion reais for 2022.

Compared with calculations made just two months ago, the government improved estimated net revenues for the year by 69.9 billion reais, forecasting a more robust tax collection and additional 25.6 billion reais in dividends.

Dividends were mainly pushed by state-controlled oil company Petrobras, which saw its profit soar with the rise in oil prices after the Ukraine war.

Economy Minister Paulo Guedes has argued that revenue improvement responds not only to spiking commodities but also to reforms carried out by the government, which lowered the unemployment rate and attracted more private investment.

The government also announced in the report the need to freeze an additional 2.6 billion reais in expenses to comply with the constitutional spending cap.

The details of the cuts will be formalized at the end of the month, adding to pressure on President Jair Bolsonaro, who is trailing in his re-election campaign to leftist rival Luiz Inácio Lula da Silva ahead of an Oct. 2 vote.

($1 = 5.1437 reais)

[ad_2]

Source link

Related Articles

Leave a Reply

Back to top button
bitcoin
Bitcoin (BTC) $ 97,942.24 1.51%
ethereum
Ethereum (ETH) $ 2,763.79 1.58%
xrp
XRP (XRP) $ 2.73 4.63%
tether
Tether (USDT) $ 1.00 0.03%
bnb
BNB (BNB) $ 653.74 0.70%
solana
Solana (SOL) $ 175.81 2.62%
usd-coin
USDC (USDC) $ 1.00 0.00%
dogecoin
Dogecoin (DOGE) $ 0.25673 1.02%
cardano
Cardano (ADA) $ 0.79696 3.93%
staked-ether
Lido Staked Ether (STETH) $ 2,765.30 1.65%
tron
TRON (TRX) $ 0.241522 0.31%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 97,612.15 1.31%
chainlink
Chainlink (LINK) $ 18.30 1.18%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,299.97 1.45%
stellar
Stellar (XLM) $ 0.347086 3.64%
sui
Sui (SUI) $ 3.35 4.10%
avalanche-2
Avalanche (AVAX) $ 24.90 4.34%
litecoin
Litecoin (LTC) $ 130.00 4.27%
hedera-hashgraph
Hedera (HBAR) $ 0.222871 4.06%
shiba-inu
Shiba Inu (SHIB) $ 0.000016 0.38%
the-open-network
Toncoin (TON) $ 3.61 0.95%
leo-token
LEO Token (LEO) $ 9.72 0.65%
usds
USDS (USDS) $ 1.00 0.17%
hyperliquid
Hyperliquid (HYPE) $ 24.67 5.91%
weth
WETH (WETH) $ 2,758.62 1.37%
polkadot
Polkadot (DOT) $ 5.02 3.05%
mantra-dao
MANTRA (OM) $ 7.41 2.59%
bitcoin-cash
Bitcoin Cash (BCH) $ 324.62 0.47%
ethena-usde
Ethena USDe (USDE) $ 0.99927 0.02%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,925.19 1.41%
uniswap
Uniswap (UNI) $ 9.29 3.28%
bitget-token
Bitget Token (BGB) $ 4.42 7.64%
monero
Monero (XMR) $ 232.20 2.42%
pepe
Pepe (PEPE) $ 0.00001 1.40%
near
NEAR Protocol (NEAR) $ 3.34 5.56%
aave
Aave (AAVE) $ 260.55 1.67%
whitebit
WhiteBIT Coin (WBT) $ 27.34 0.49%
ondo-finance
Ondo (ONDO) $ 1.25 3.27%
aptos
Aptos (APT) $ 6.50 0.25%
bittensor
Bittensor (TAO) $ 453.18 8.46%
mantle
Mantle (MNT) $ 1.04 0.64%
dai
Dai (DAI) $ 1.00 0.00%
official-trump
Official Trump (TRUMP) $ 17.18 0.28%
susds
sUSDS (SUSDS) $ 1.04 0.27%
internet-computer
Internet Computer (ICP) $ 7.07 2.32%
ethereum-classic
Ethereum Classic (ETC) $ 21.20 1.23%
okb
OKB (OKB) $ 49.47 0.80%
tokenize-xchange
Tokenize Xchange (TKX) $ 36.97 5.32%
gatechain-token
Gate (GT) $ 22.70 0.42%
kaspa
Kaspa (KAS) $ 0.106488 1.22%