Economy Minister Paulo Guedes said on Monday that the federal government’s primary deficit should be 1% of the Gross Domestic Product (GDP) at the end of this year and 0.5% of GDP in 2022, which represents a recovery in the trajectory of public accounts after a deficit of 10.5% of GDP in 2020.
In a presentation at the National Treasury’s annual award, the minister said that the economic team’s activities are focused on the fiscal area.
“It is the inspector who directs the entire process. We overturned and controlled the future trajectory of spending on Social Security, interest rates, spending on civil servants’ salaries, which were out of control, and, finally, this Brazilian jabuticaba, which were the precatories,” he said.
According to the minister, the lack of control over future government spending trajectories is related to problems that the country has already faced, such as hyperinflation, rising public debt, high interest rates, higher taxes, low growth and corruption.
Reference: CNN Brasil
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