Government records a surplus of R$18.3 billion in October; worst result since 2020

The central government recorded a surplus of R$18.2 billion in October. With last month’s result, public accounts will accumulate a primary deficit of R$75.1 billion in 2023. According to the government, this is the worst result, in nominal values, for the period since 2020, when the country was facing the peak of Covid-19 pandemic and the negative result was R$680.8 billion. The data was released this Tuesday (28) by the National Treasury.

In October 2022, public accounts had a surplus of R$30.5 billion. Compared to last year, last month’s surplus fell 40.3% in nominal terms and 43% in real terms, when inflation is taken into account. The central government comprises the National Treasury, Social Security and the Central Bank.

“Considering only last month’s result, the surplus of R$18.27 billion reflects the difference between net revenue of R$180.14 billion and total expenditure of R$161.86 billion in the period. In relation to the accumulated result of the first ten months of 2023, the deficit of R$75.09 billion results from the difference between R$1.575 trillion in net revenue and R$1.650 trillion in total expenditure”, said the Ministry of Finance, in a note .

Last week, the Ministries of Finance and Planning announced an increase in the deficit projection and the estimated deficit in public accounts, which should reach R$177.4 billion this year (1.7% of GDP). In September, the government estimates a deficit for 2023 of R$141.4 billion (1.3% of GDP). At the beginning of the year, the Minister of Finance, Fernando Haddad, presented a package of measures to reinforce federal revenue and defended the possibility of closing the year with a deficit of R$100 billion (1% of GDP).

Compared to October last year, revenues rose, but expenses increased at a greater volume due to Bolsa Família and Social Security spending, reported the Brazil Agency. Last month, net revenues rose 5.5% in nominal values. Discounting inflation by the Broad National Consumer Price Index (IPCA), the increase reaches 0.6%. In the same period, total expenses rose 15.4% in nominal values ​​and 10.1% after discounting inflation.