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POSITIVE RESULTS

Public sector budget hits R$ 26 bn nominal surplus in January

published: Feb 28, 2019 08:13 PM, last modified: Mar 01, 2019 06:30 PM
Result includes spending by federal, state and municipal entities
Public sector budget hits R$ 26 bn nominal surplus in January

State-owned companies had a R$ 507 million surplus in the first month of 2019 - Photo: Archive/Agência Brasil

The Brazilian government ended January with its books in the blue. The nominal balance, which is equal to the difference between taxes raised and expenses incurred, ended the month at a R$ 26 billion, 39.8% higher than the same month last year.

The month also led to a primary surplus (savings to pay interest on debt) of R$ 46.9 billion. The data was released by the Brazilian Central Bank on Thursday (28).

According to the institution, expenses with nominal interest were also down. In January, that number amounted to R$ 20.8 billion, 26.35% lower than the R$ 28.3 billion from last year. Part of this decline is explained by the decrease in the Selic, Brazil's benchmark interest rate, which remains at 6.5% per year, the lowest ever.