Bloomberg News

Brazil’s Posts Record Primary Surplus for Month of February

March 29, 2012

Brazil’s central government surplus before interest payments widened to a record for the month of February on higher dividend payments by state companies.

The primary surplus grew to 5.4 billion reais ($2.95 billion) from 2.5 billion reais in the same period a year ago, the Treasury said in a statement distributed in Brasilia today. Dividends paid by state-controlled companies to the Treasury surged to 4.9 billion reais from 1.5 billion reais.

President Dilma Rousseff’s administration slashed 55 billion reais off its 2012 budget on Feb. 15 to create room for the central bank to further reduce interest rates and ensure the country meets its 139.8 billion-real primary surplus target.

“We are meeting the primary surplus target by a margin,” Treasury Secretary Arno Augustin told reporters today in Brasilia. “This margin reassures us that we will fully meet the target by year end.”

Augustin reiterated the Brazil may sell real bonds abroad this year, without providing a timeframe.

To contact the reporter on this story: Mario Sergio Lima in Brasilia Newsroom at mlima11@bloomberg.net.

To contact the editor responsible for this story: Joshua Goodman at jgoodman19@bloomberg.net.


Tim Cook's Reboot
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus