The Service Time Guarantee Fund (FGTS) will have R$142.3 billion available next year for investments in housing, sanitation and infrastructure. The fund’s Board of Trustees approved the budget for 2025.
The value represents an increase of 1.93% compared to 2024. This year, the FGTS has a budget of R$139.6 billion.
Most of the resources will be used in housing, which will receive R$126.8 billion. The Minha Casa, Minha Vida program alone will have R$123.5 billion in investments, more than the R$121.1 billion available this year.
The housing program will also have R$12 billion in subsidies (discounts on loans) with resources from the FGTS, more than the R$11 billion foreseen for 2024. The expenses to subsidize the program are in another item of the Guarantee Fund, outside of investments and the calculation of R$ 142.3 billion.
According to the Board of Trustees, the goal is to finance 83% of the endowment in new properties and 17% in used units in Minha Casa, Minha Vida.
The FGTS will have R$8 billion available for urban infrastructure projects and R$7.5 billion for basic sanitation. Compared to the current year, the values increased. For 2024, the FGTS allocates R$6 billion to each category.
The only reduction for next year occurred in the Pró-Cotista line, which grants housing financing at lower interest rates to workers with an FGTS account. The value went from R$5.5 billion this year to R$3.3 billion next year. The decrease occurred despite requests from the real estate sector.
Sustainable projections
According to the Ministry of Cities, the FGTS budget proposal is sustainable over the next four years and is based on the evolution of the fund’s net assets in the period: from R$113.3 billion, in 2025, to R$117.9 billion, in 2028. The ministry states that it is able to meet the budget in the medium term, despite the change in the calculation of the fund’s profitability.
In June this year, the Federal Supreme Court (STF) determined that the FGTS ensure correction for inflation by the Broad National Consumer Price Index (IPCA). The correction will affect the current balance of the accounts, not retroactive values.
Replacing inflation can be achieved with the distribution of FGTS profits that occurs each year. According to the STF’s decision, the current calculation that determines the correction with interest of 3% per year, the increase in the distribution of the fund’s profits, in addition to the correction by the Reference Rate (TR) is maintained. If the current calculation does not reach the IPCA, it will be up to the FGTS Board of Trustees to establish the form of compensation. Accumulated inflation over the last 12 months is 4.47%.
