BRASILIA (Reuters) – Brazil’s economy ministry on Friday revised its fiscal forecasts to factor in the extension of emergency payments to the poor, and now sees a 2020 central government primary deficit of 866.4 billion reais ($167 bln) or 12.1% of gross domestic product.
That compares with a previous forecast of 787.4 billion reais, or 11% of GDP. The wider public sector deficit was also revised wider to 891.1 billion reais or 12.4% of GDP, from 812.2 billion reais or 11.3% of GDP.
The extension of the emergency fiscal transfers for a further four months through the end of the year will take the total cost of the program up to 321.8 billion reais from 254.2 billion reais, the ministry said.
($1 = 5.30 reais)
(Reporting by Jamie McGeever and Marcela Ayres; Editing by Chizu Nomiyama)
