FX.co ★ Brazil Budget Deficit Tops Forecasts

Brazil recorded a nominal budget deficit of BRL 60.1 billion in April 2026, up from BRL 55.5 billion in the same month a year earlier and exceeding market expectations of a BRL 50.7 billion shortfall. The central government deficit widened to BRL 50.1 billion from BRL 44 billion in April 2025, while the deficit of state-owned enterprises increased to BRL 2.4 billion from BRL 1.7 billion. In contrast, the shortfall of regional governments narrowed to BRL 7.6 billion from BRL 9.9 billion a year before.

Government debt rose to 80.4% of GDP, the highest level since December 2021, compared with 80% in March and 76% in April 2025, slightly above market forecasts of 80.3%.