Treasury expects Brazil to regain investment grade in 2018

National Treasury Secretary Ana Paula Vescovi says that recovering Brazil's investment grade rating is possible and viable as soon as 2018. The secretary was presenting the Annual Financing Plan (PAF) for 2017 and admitted the fiscal scenario is still adverse for this year despite improvements since the change of government last May.

Brazil Public debt forecast to reach 84% of GDP by 2018

Brazilian public-debt forecasts for the next few years are raising concern. The gross debt, which ended 2015 at 66.2% of GDP, could reach nearly 84% in 2018 according to Itaú projections. The level that excludes foreign reserves from the gross debt could also rise, going to 58% of GDP in 2018 from 42% last year. Itaú expects the public sector to continue posting primary deficits in the period, marked by very weak economic performance and high real interest rates.

valor.com.br 10fev16

Central Bank sees risk of gross debt above 70% of GDP in 2016

The Central Bank forecasts that federal gross debt may reach 70.7% of GDP in 2016, even if the government achieves the primary-surplus target of 0.5% of GDP set for next year. Under an alternative projection, which uses a market forecast of a primary deficit of 1% of GDP in 2016, the gross debt would amount to 71.5% of GDP. The Central Bank\'s estimates take into account a relatively optimistic scenario for GDP performance, with a 1.9% economic contraction in 2016, according to its Inflation Report. Private-sector economists expect the output to contract 2.8% in the period. Gross debt reached 65.1% of GDP in November, or R$3.84 trillion, according to Central Bank data, compared with 57.2% in December 2014.

Dec 29, 2015 at 9:30 PM
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Brazil federal debt up in February on net issue

* Federal public debt up 2.8 pct in February
* Net debt issuance totals 27.25 billion reais in February