Home Central Bank Central Bank: Oct 2017 US$ 1,47 billion primary surplus

Central Bank: Oct 2017 US$ 1,47 billion primary surplus


The consolidated public sector closed October 2017  with a primary surplus of R $ 4.758 billion (about US $ 1.47 billion), the Central Bank said on Wednesday (Nov.29). A year earlier, the result was a surplus of R $ 39.589 billion (US $ 116.4 billion, by Oct, 2016 exchange rate). The Federal Government and regional governments presented, in order, a surplus of R $ 5 billion and R $ 352 million, and state companies, a deficit of R $ 562 million.

In the period Jan-Oct 2017, the consolidated public sector registered a primary deficit of R $ 77.4 billion ( about US$ 24 billion), compared to a deficit of R $ 45.9 billion (US$ 13.39 billion)  in the same period of 2016. In the twelve-month period to October, the primary deficit was R $ 187.2 billion (2.88% of GDP), 0.53 pp of GDP higher than the deficit registered in September.

Nominal interest of the consolidated public sector, appropriated by competence, reached R $ 35.3 billion in October, compared to R $ 32 billion in September. The largest number of business days in the month contributed to this increase and the worst result of the foreign exchange swap operations (loss of R $ 1.8 billion in October against a loss of R $ 188 million in September). Year-to-date, nominal interest totaled R $ 338.4 billion, compared to R $ 331.2 billion in the same period of the previous year. In twelve months, nominal interest reached R $ 414.2 billion (6.37% of GDP), decreasing 0.03 pp of GDP in relation to the value registered in September.

The nominal result of the consolidated public sector( which includes the primary result and the appropriate nominal interest), was a deficit of R $ 30.5 billion in October. In the year, the nominal deficit totaled R $ 415.7 billion, compared to a deficit of R $ 377.2 billion in the same period of the previous year. In the twelve-month period, the nominal deficit reached R $ 601.4 billion (9.25% of GDP), expanding 0.49 pp of GDP in relation to the deficit of the previous month.

The nominal deficit of October was financed through expansions of R $ 29.4 billion in securities debt, R $ 4.8 billion in net bank debt and R $ 3.8 billion in net external financing, partially offset by the reduction of R $ 7 , 5 billion in other sources of domestic financing, which include the monetary base.

An official translation of the Central Bank’s release will be available at its site on Dec.8.