Brazil Primary Deficit Reaches US$1.9 Billion in August as Gross Debt Hits 82.9% of GDP
Brazil ran a primary deficit of US$1.9 billion in August as gross debt rose to 82.9% of GDP, the highest since 2021. Interest is the main driver. The post Brazil Primary Deficit Reaches US$1.9 Billion in August as Gross Debt Hits 82.9% of GDP appeared first on The Rio Times .
Brazil's public sector recorded a primary deficit of US$1.9 billion in August, according to central bank data released on September 30. This marks a narrowing of the deficit from previous months, although overall government debt continues to rise to 82.9% of GDP, the highest level since March 2021. The figures arrive just days before the presidential election on Sunday.
The Treasury reported a primary deficit of US$2.6 billion, while the central bank's broader measure of consolidated public sector recorded a deficit of US$1.9 billion, accounting for states, municipalities and state companies. Interest costs have been the primary driver of the growing debt, with nominal interest expenses reaching US$20.4 billion in August, up from US$14.3 billion a year earlier.
In August 2025, the consolidated deficit was US$3.3 billion, compared to a deficit of US$3.0 billion a year prior. The primary balance measures revenue minus spending before accounting for interest expenses.
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