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Brazil central government posts better than expected 28.6 billion reais surplus in April

Published 06/14/2022, 01:59 PM
Updated 06/14/2022, 02:01 PM
© Reuters. FILE PHOTO: A view shows the Ministry of the Economy headquarters building in Brasilia, Brazil October 4, 2021. REUTERS/Adriano Machado

BRASILIA (Reuters) - Brazil's central government reported a better than expected primary budget surplus of 28.6 billion reais ($5.57 billion) in April, official figures showed on Tuesday, with increased tax revenue helping to improve fiscal data.

Economic analysts had expected a 26.4 billion reais surplus in a Reuters poll.

According to the Treasury, central government net revenue rose 5.9% in real terms over the same month last year, while total expenditure declined by 0.5% on the same basis.

Tax revenue has been boosted by a surge in income tax and oil royalties, at a time when international prices remain under pressure because of the Russian invasion of Ukraine.

Year-to-date, the central government recorded a 79.3 billion reais primary surplus, up 75.1% from the same period in 2021 in data adjusted for inflation.

In the 12 months to April, the primary deficit reached 4.6 billion reais, worth 0.06% of gross domestic product, the Treasury said.

The numbers were expected by the end of May but were delayed by a Treasury workers' protest for higher wages.

© Reuters. FILE PHOTO: A view shows the Ministry of the Economy headquarters building in Brasilia, Brazil October 4, 2021. REUTERS/Adriano Machado

The central bank had said last month that the public sector, including states, municipalities and state companies, posted a 38.9 billion reais primary surplus in April.

($1 = 5.1386 reais)

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