Government has primary deficit of BRL 41 billion in February, higher than expected – 03/30/2023 – Market

The central government, made up of the National Treasury, the Central Bank and Social Security, registered a primary deficit of R$40.989 billion in February, the Treasury informed this Thursday (30).

The February result was worse than the market’s expectations, according to a survey by the Reuters agency, which pointed to a deficit of R$ 35.7 billion for the month.

The result for February this year was also worse than that recorded in the same month last year, when the central government had registered a deficit of R$ 20.367 billion.

In January and February, the central government has a surplus of R$ 37.768 billion, thanks to the positive result verified in the first month of the year. According to the Treasury, this is the best result for the first two months of a presidential term.

The forecast contained in the Annual Budget Law (LOA) is for a primary deficit of BRL 228.1 billion in 2023.

The Ministry of Finance, however, has been working with a smaller gap. In the Evaluation Report of Primary Revenues and Expenditures for the first two months, the forecast is for a primary deficit of R$ 107.6 billion in 2023.