*Brazil’s central bank (BCB) has released the public sector fiscal statistics for August, which showed a primary deficit of R$10.0bn (US$1.9bn), down from the deficit of R$17.3bn registered in August 2025. However, this contrasts with a primary surplus of R$1.4bn registered in July. The central government posted a primary deficit of R$14.7bn in August 2026, while regional governments and state-owned companies registered monthly surpluses of R$2.7bn and R$2.0bn respectively. The public sector’s accumulated primary deficit in the 12 months through August this year totalled R$82.1bn (0.62% of GDP), which is down from the annual deficit of R$89.3bn in the 12 months through July. Meanwhile, the public sector’s monthly nominal deficit, which includes the primary result and debt interest payments, stood at R$115.9bn in August this year. The annual nominal deficit rose to R$1.26tn (9.48% of GDP), up 0.12 percentage points of GDP compared to the 12 months through July.
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