Minister of Finance declares that architecture of the rules of public accounts is well-deemed by experts
The Minister of Finance, said on Monday (24.mar.2025) that is “comfortable”With the current model of rules of the Fiscal Framework, which sets a limit of spending above inflation.
“From the point of view of architecture, which is the spending rule and the goal of [resultado] primary, I think the framework [fiscal] It works. Ah, but what is the primary goal and what is the parameter of expense? This you can adjust. No problem. You won’t be hurting the general principle ”said Haddad.
He attended an event in São Paulo organized by the newspaper Economic value. According to him, it will be necessary to do “Machine Repair ”because some expenses can get out of control.
“Architecture [do marco fiscal] It was very well-held by experts. I talked to a lot of people outside Brazil: World Bank, IMF, risk agencies… I think everyone considers a robust architecture ”these.
The 2024 primary result goal was 0% of GDP (Gross Domestic Product), when income and expenses are equivalent. The federal government had a primary deficit of $ 11 billion. Tolerance is within the interval that was up to 0.25 percentage point of the negative balance GDP.
For 2025, the target of primary result is the same. The 2025 budget conjecture one this year.
“We will continue to pursue the goals that were established. We trust the drawing that was made in 2023. We could have to change and that would have been no sin. The mistake is not changing, when you see a need.”these. “I believe we are adjusting the bills and chasing the goals”completed.
Tax milestone
The Fiscal Framework was in August 2023. The Fiscal Framework replaces the rule of conceived in 2016 by the government of (MDB). The ceiling established that the total government expenses could not increase more than inflation from one year to another. Increased spending on one item would have to be compensated with equal reduction in another item, or in various items. The ceiling in the (PL) government from 2020 to 2022 because of the pandemic.
The Fiscal Framework states that spending will always grow above inflation. The minimum is 0.6%; maximum, 2.5%.
This new ceiling of 2.5% above inflation is flexible: if tax collection grows a lot, money will not compulsorily pay public debt, as it was in the previous rule. Now, if there is surplus above, the government may use 70% of the surplus in investments.
The 0.6% floor is also something new rules seek to avoid. Discretionary expenses (are outstanding and other fixed expenses) will be at least 75% of what is set in the budget.
