TCU suspends decision that forced the government to seek the center of the fiscal target

The Federal Court of Auditors (TCU) accepted an appeal presented by the government and suspended this Wednesday (15) a previous decision that forced the Federal Executive to seek the center of the fiscal target in the year 2025, according to the decision of the court of accounts seen by the Reuters.

The Union’s Attorney General had argued that not allowing the fiscal target to be met within its previous range could create “a serious risk to the execution of public policies under the responsibility of the Union”.

If the TCU’s initial understanding that focus should be given to the center of the goal were put into practice, the government could be forced to increase the containment of ministries’ funds.

The target for 2025 is zero primary deficit, with a tolerance margin of 0.25 percentage points of the Gross Domestic Product (GDP), which corresponds to R$31 billion, plus or minus.

In a statement, the AGU said that the TCU’s decision, taken by minister Benjamin Zymler, considered the “practical impossibility of carrying out a new budget contingency this year in the dimensions required to ensure compliance with the determination of this point in the TCU ruling”.

He also highlighted the “unprecedented nature and complexity of the matter”, which resulted in “divergent understandings both within the Executive Branch and the technical area of ​​the court”.