Treasury says it will pay $ 70 billion in precatory in July

by Andrea
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Payment of court judgments was postponed to help contain inflation, according to Rogério Ceron

The National Treasury Secretary, Rogério Ceron, said on Tuesday (29.br.2025) that the Government (PT) will pay R $ 70 billion in precatory in July. Of the total, approximately R $ 40 billion are out of the tax target rule.

The precatory are debts of the Executive Power with judicial judgments without the possibility of appeal by the Union. In 2024, the largest amount of appeals was paid in February. This year, it will be in July.

The reason for the postponement of payment in 2025 was to help the (Central Bank) in the inflation control. The release of resources has an impact on consumption and the greatest difficulty in the effect of monetary policy.

“It helps not create more pressure on economic activity at this time”Said the secretary.

With the postponement of payment in 2025, spending on court and precatory judgments fell from R $ 38.3 billion in the 1st quarter from 2024 to R $ 6.3 in the first quarter of this year, a drop of 84%.

“The precatory related to 2025 the tendency is to be paid in July. We already aligned with the taxes, especially with the CJF (Federal Justice Council)which is responsible for the highest volume of payments, almost all ”said Ceron.

Clock pump in 2027

By current rules, the next president of the elected Republic will not have enough resources in 2027 to fund all discretionary (non -compulsory) expenses, regardless of the political party. The reason for this is that the precatory will be reincided again within the limits of the goals set by the Fiscal Framework.

Currently, part of the expenses do not comply with the rules. The calculation of what is left or was not defined in conjunction with the Supreme Court (STF), which allowed the exclusion of the tax rules only by 2026. Therefore, the next president will not be able to discount the target of primary result with precatory spending.

Ceron said on Tuesday (29.br.2025) that he tried, by 2023, to classify the expenses with court sentences as financial expenses. In this scenario, spending would not be accounted for in the primary result of the National Treasury.

“At that moment, this discussion did not prosper and the Supreme Court made the decision to make a transition until 2027. But these dates arrive. So my position back there was to have addressed. Now, you need to look over it.”said Ceron.

The secretary defended, in 2023, a. Stated that the problem of judicial sentences should be.

Still uncertain solution

According to Ceron, the government has not yet defined an appropriate solution to equate the resumption of precatory in the primary result. He stated that decisions will depend on the dynamics of judgment payments. Proposals will be made in 2026, according to him.

This solution needs to be addressed by the mid -year. Ideally, even before ”said the secretary. “I’m not talking on behalf of the government. It is a position of the treasure. The sooner we address this, I think it brings more predictability ”said Ceron.

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