Wellton Máximo Reporter Agência Brasil

Brasília – Even though there was a slowdown in revenue in February, there was also a significant drop in outlays by the “Central Government” (National Treasury, Social Security system and Central Bank) enabling the government to obtain a primary surplus in February of R$2.568 billion. It was the first primary surplus in February since 2008 (in 2010, there was a deficit of R$1.1 billion).

So far, in the first two months of 2011, the government has obtained a primary account surplus totaling R$16.843 billion (in January it was R$14.3 billion). That is an increase of R$4.155 billion over the surplus during the same period in 2010. It is also 71% of the primary surplus target for the first four-month period of 2011 (the target is R$22.9 billion).

Although there was a drop in February, for the year of 2011, however, both primary revenue and primary outlays have risen cumulatively. The former by 17.7%, the latter up 15.7%.

Meanwhile, cumulative government operational spending (“custeio – manutenção da máquina pública”) rose 30.6%, discretionary spending (“investimentos”) rose 25.2%. But, in February, “custeio” spending was reduced by R$11 billion (in January it was R$24 billion, in February R$13 billion).

Outlays for the Accelerated Growth Program (“PAC”) totaled R$3.468 billion in 2011, up 52% for the first two months of the year, compared to the same period in 2010. The slowdown in February can be seen in the fact that PAC outlays in January rose 176%, compared to January 2010.

Allen Bennett – translator/editor The News in English – content modified

Link - Governo obtém superávit primário em fevereiro pela primeira vez desde 2008