The spending on the reconstruction of Rio Grande do Sul totaled R $ 29.016 billion out of a total of R $ 40.66 billion available, the National Treasury released on Thursday (30). By law, spending was out of the fiscal target and did not enter the primary deficit calculation.
Most of the resources, said the Treasury, covers expenditure on extraordinary credits for works and direct aids to the population, which totaled R $ 21.533 billion out of a total of R $ 28.503 billion available.
Of these credits, R $ 6.5 billion were spent on the capitalization of the infrastructure support fund, which finances recovery works in the state, and R $ 6.05 billion from the Investment Guarantee Fund (FGI) and the Operations Guarantee Fund (FGI) (FGO), used to support micro and small businesses.
Secondly, comes the payment of R $ 2.83 billion in anticipation of social security precatory for state citizens. R $ 1.66 billion of rural credit and the National Microenterprise Support Program and Small Enterprises (PRONAMPE), R $ 988 million in support to states and municipalities, R $ 848 million in precatories in General, and R $ 748 million in precatory to public servants and emergency vacancies at Nossa Senhora da Conceição Hospital.
Spending
The Union also spent R $ 367 million on the granting of two additional installments of unemployment insurance and R $ 25 million with continued installment benefit (BPC) and R $ 24 million with the recovery of public defender’s units of the Public Defender Union, the Federal Public Prosecution Service and federal courts in the state and with the strengthening of free legal assistance.
The Secretary of the National Treasury, Rogério Ceron, took a positive balance of the Rio Grande do Sul Help Program. “Our indicators are all positive, as we already signaled. As soon as the measurements began, we said the recovery process was going to be very strong. We said the recovery process was going to be very strong because it would resemble a postwar. The way we acted was thinking about it, ”he said.
According to Ceron, although the validity of the public calamity decree in Rio Grande do Sul – due to heavy rains in 2024 – ended at the end of last year, some residual funds of the remaining $ 11 billion may be remains to pay For 2025. Through the remains to be paid, the government spends a committed (authorized) funds in previous years.
Primary deficit
Spending on Rio Grande do Sul weighed in the primary deficit of R $ 43.006 billion0.36% of Gross Domestic Product (GDP), in 2024. Because they are extraordinary credits, spending was excluded from the target of primary deficit of the tax framework.
Without extraordinary credits and the criteria of the tax framework, the primary deficit would have ended last year at R $ 11.032 billion (0.09% of GDP), within the tolerance margin of R $ 28.75 billion fiscal deficit deficit .
The primary result represents the difference between revenues and spending, disregarding the payment of public debt interest. The 2024 Budgetary Guidelines Law (LDO) and the tax framework sets zero primary deficit target, with a tolerance margin of 0.25 percentage point of Gross Domestic Product (GDP) up or down to the central government. At the lower limit of the goal, this is equivalent to the deficit of up to R $ 28.75 billion.
