IMF Staff Country Reports

Brazil: Technical Assistance Report-Strengthening Fiscal Responsibility at the Subnational Level

Publication Date:

September 1, 2020

Electronic Access:

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Summary:

The fiscal challenges of Brazil’s states and municipalities can have a significant impact on the economy and the provision of core public services. The subnational governments (SNGs) account for a large share of public expenditures, including public investment. As such, their fiscal problems can hamper the economic recovery and the public finances of the federal government. In recent years, many states and municipalities have been struggling with high debt or severe liquidity pressures. Some have already defaulted on part of their debt and are running payment arrears (wages and suppliers). The federal government has already provided a substantial package of financial support through debt service relief.

Series:

Country Report No. 2020/227

Subject:

Arrears Asset and liability management Debt limits Expenditure Fiscal policy Fiscal rules PFM legal and regulatory frameworks Public financial management (PFM) Revenue administration

Frequency:

regular