Brazil doubles down on a budget surplus that nobody believes


Brazil's President Luiz Inacio Lula da Silva. — Bloomberg

Brasilia: Brazil’s government submitted its 2026 budget bill targeting a primary fiscal surplus of 0.25% of gross domestic product, a goal that investors slam as unrealistic due largely to spending pressures ahead of next year’s election.

President Luiz Inacio Lula da Silva’s economic team aims to achieve that goal, which excludes interest payments, according to legislation that was sent to Congress last Friday. 

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