Thursday, April 15, 2021

Gross debt reaches 90% of GDP, record value of the historical series

Facebook
Twitter
Pinterest
WhatsApp
Telegram

Must Read

According to the head of the Central Bank’s Statistics Department, Fernando Rocha, one of the main reasons for this movement was the exchange rate effect

The head of the Central Bank’s Statistics Department, Fernando Rocha, said on Wednesday, 31, that the Gross Government Debt, of 90.0% of the Gross Domestic Product (GDP) in February, represents a record value for the historical series.

The pandemic is stirring the economy and business around the world. Come and learn what really matters in Prime Time Zone Invest PRO

According to him, one of the main reasons for this movement was the exchange rate effect. In practice, the exchange rate devaluation in February raised the external debt.

From January to February, the external debt went from 11.1% of the Gross Domestic Product (GDP) to 11.5%. As the gross debt does not take into account Brazil’s international reserves, this boosted the gross debt.

In the case of net debt, the increase seen in February was impacted by new net debt issues by the National Treasury, in a scenario of nominal deficits. From January to February, net debt went from 61.4% to 61.6% of GDP.

“The increase in net debt in February was only not greater because the exchange rate adjustment reduced the amount,” Rocha said at a press conference on the February Tax Statistics, published in the morning.

In practice, with the exchange rate devaluation in February, net debt was favored, since the amount of international reserves is taken into account in this case.

Thank you for reading the EXAME! How about becoming a subscriber?

Get unlimited access to the best content of your day. Within minutes, you create your account and continue reading this article. Come on?

You have little time to release your access.

digital exam

R$ 1,90
In the first three months,
after this period: R $ 15.90
  • Access wherever and whenever you want.
  • Unlimited access to exclusive content on macroeconomics, markets, careers, entrepreneurship, technology and finance.

Sign it

digital + printed exam

R $ 29.90 / month
  • Access wherever and whenever you want
  • Unlimited access to exclusive content on macroeconomics, markets, careers, entrepreneurship, technology and finance.
  • Monthly print edition.
  • Free shipping

Sign it

palheta smll Gross debt reaches 90% of GDP, record value of the historical series

4110755

Facebook
Twitter
Pinterest
WhatsApp
Telegram

Latest News

Withdrawal of US troops from Afghanistan could pose a significant risk

Senior US intelligence officials say the plan to withdraw troops from Afghanistan could give terrorist groups such as al-Qaeda...

More Articles Like This

spot_img