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LatinNews Daily - 03 August 2026
In brief: Brazil’s public sector deficit widens year-on-year
*Brazil’s central bank (BCB) has released the latest fiscal statistics for the public sector, showing a primary deficit of R$55.3bn (US$10.9bn) in June. This is down from the deficit of R$56.1bn in May but marks an increase compared to R$47.1bn in June 2025. Meanwhile, the accumulated deficit in the 12 months through June 2026 stood at R$157.2bn (1.19% of GDP), up from R$149.0bn in the 12 months through May. The central government posted a deficit of R$47.2bn in June this year, while the monthly deficit of regional governments totalled R$6.6bn, and state-owned companies registered a total deficit of R$1.5bn. The public sector’s nominal deficit, which includes the primary result and debt interest payments, showed a monthly deficit of R$166.0bn in June. The accumulated annual nominal deficit in the 12 months through June stood at R$1.32tn (9.99% of GDP), up from the deficit of R$1.26tn in the 12 months ending May 2026.
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