Where does Brazil’s public deficit come from?

A very heavy interest bill and pensions already costly for a still-young population: Brazilian public revenue and spending since 2010, and a comparison with France.

Scope: Brazilian general government (Union, states, municipalities), IMF government finance statistics, calendar years, 2010 to 2023 (latest year published in this database). · Data as of Oct 30, 2026.

Public spending · 2023R$4,958bn45.7% of GDP
Public revenue · 2023R$4,114bn37.9% of GDP
Deficit · 2023−R$844bn−7.8% of GDP
Gross public debt · end of 202384.0%of GDP

Key takeaways

  • In 2023, Brazilian general government spent R$4,958bn (45.7% of GDP) against R$4,114bn of revenue (37.9%): a deficit of R$844bn, or 7.8% of GDP. Gross debt stands at 84.0% of GDP on the IMF definition (60.4% net of financial assets).
  • The interest bill: interest on debt costs 8.2% of GDP in 2023, four times more than in France (2.0% in 2022). With high interest rates and part of the debt indexed to inflation, it peaked at 11.9% of GDP in 2015.
  • Pensions already costly: they absorb 12.1% of GDP in 2023 (9.5% in 2010), almost as much as in France (14.3% in 2022), while people aged 65+ make up only 10.6% of the population, half the French share (21.4%). A pension reform was passed in 2019.
  • Two shocks: the 2014–2016 recession took the deficit from 3.4% of GDP in 2013 to 9.3% in 2015, with spending up 6.4 points, of which 5.0 points of interest and 1.1 points of pensions. Covid pushed it to 11.6% in 2020: support for families and against exclusion, including the emergency aid to households (Auxílio Emergencial), went from 1.5% to 5.2% of GDP.
  • Between 2019 and 2023 the deficit went from 4.9% to 7.8% of GDP. Spending gained +2.6 points (interest +1.0, family support +0.9) and revenue fell by 0.3 point. The Union carries the deficit (−6.9% of GDP in 2023); the states (−0.9%) and municipalities (+0.1%) are close to balance.
  • Compared with France, Brazil spent 13.8 points of GDP less in 2022 (43.4% against 57.3%) and levied 13.1 points less. It spends less on health (−4.4 points) and pensions (−2.9), but 6.1 points more on interest. On the revenue side, social contributions (−9.1 points) and household income tax (−6.7) are much lower; VAT-type taxes weigh the same (7.5% of GDP).

Revenue and spending, year by year

For each year: left bar = revenue (grey), right bar = spending (colours), stacked by type. The gap between the two bars is the deficit. Tap an item in the legend to isolate it. Amounts in billions of reais.

Unit
Spending by
Since
Spending
Revenue

What widened (or narrowed) the deficit

Change of each item in points of GDP between two years. Spending that rises, or revenue that falls, widens the deficit (bar to the left); revenue that rises narrows it.

Compare

Public balance: −3.6% of GDP in 2010, −7.8% in 2023, a change of −4.2 points. Contribution of spending: −6.2 pt; of revenue: +1.9 pt.

  • Pensions
  • Health
  • Other social benefits
  • Interest on debt
  • Education
  • Economic affairs
  • Other public spending
  • Revenue
← widens the deficitnarrows it →
Detail by item · 2010 → 2023
Detail by itemSide20102023Change (pt)Effect on balance (pt)
Pensions (old age + survivors)Spending9.5512.07+2.53−2.53
Health (hospitals, outpatient care, medicines)Spending3.344.76+1.42−1.42
Other taxes on goods and services (excises, customs, transfer duties…)Revenue7.466.20−1.26−1.26
Interest on debtSpending7.088.20+1.12−1.12
Family, housing benefits, social exclusionSpending1.392.44+1.06−1.06
Value added taxes (ICMS, IPI…)Revenue7.866.98−0.88−0.88
General services (excluding debt)Spending3.073.24+0.17−0.17
EducationSpending4.824.97+0.15−0.15
UnemploymentSpending0.540.68+0.14−0.14
Sickness and disability benefitsSpending1.641.70+0.06−0.06
Defence, police, justiceSpending3.353.38+0.03−0.03
Environment, community amenities, cultureSpending2.042.00−0.03+0.03
Social contributionsRevenue7.397.47+0.08+0.08
Corporate income taxRevenue3.303.68+0.38+0.38
Economic affairs (transport, business support, energy)Spending2.702.23−0.47+0.47
Household income taxesRevenue2.263.07+0.81+0.81
Payroll, property and other taxesRevenue2.683.93+1.24+1.24
Other revenue (sales, property income, transfers)Revenue5.026.57+1.55+1.55
Total revenueRevenue35.9637.90+1.94+1.94
Total spendingSpending39.5245.67+6.16−6.16
BalanceBalance-3.55-7.77−4.22−4.22

The drivers

Pensions and health

Public spending by function, % of GDP.

  • Pensions · 12.1% (2023)
  • Health · 4.8% (2023)

The demographic driver

Share of people aged 65 and over (%), World Bank.

  • Aged 65+ · 10.6% (2023)

Public balance

% of GDP. Negative = deficit. Before 2010: IMF World Economic Outlook.

  • Balance · −7.8% (2023)

Gross and net debt

% of GDP, IMF (World Economic Outlook), IMF definition.

  • Gross debt · 84.0% (2023)
  • Net debt · 60.4% (2023)

Interest on debt and family support

% of GDP.

  • Interest on debt · 8.2% (2023)
  • Family, housing, exclusion · 2.4% (2023)

Who carries the deficit?

Balance by level of government, % of GDP.

  • Union · −6.9% (2023)
  • States · −0.9% (2023)
  • Municipalities · 0.1% (2023)

Brazil and France

Same IMF government finance statistics for both countries, same scope (general government), in % of GDP. Debt: IMF definition for Brazil (including Treasury securities held by the central bank), deposits, loans and securities for France. To the right of a gap chart, Brazil is above France.

Public spending, % of GDP

  • Brazil · 45.7% (2023)
  • France · 55.9% (2023)

Public revenue, % of GDP

  • Brazil · 37.9% (2023)
  • France · 50.4% (2023)

Public balance, % of GDP

  • Brazil · −7.8% (2023)
  • France · −5.5% (2023)

Gross public debt, % of GDP

  • Brazil · 84.0% (2023)
  • France · 106.4% (2023)

Structure of revenue and spending

One bar per country and side, stacked by item, % of GDP.

Year
  • Pensions
  • Health
  • Other social benefits
  • Interest on debt
  • Education
  • Economic affairs
  • Other public spending
  • Social contributions
  • Household income taxes
  • VAT
  • Other taxes on goods and services
  • Corporate income tax
  • Payroll, property and other taxes
  • Other revenue

Where Brazil spends and levies more (or less) than France

Brazil minus France, in points of GDP, same year. To the right, Brazil is higher.

  • Brazil − France · 2022
← lowerhigher →

Spending by nature

What public money pays for: wages, social benefits, purchases, interest… Brazil pays far more interest and far fewer social benefits.

Year
  • Social benefits (pensions, allowances, reimbursed care)
  • Public employee compensation
  • Operating purchases
  • Interest on debt
  • Subsidies
  • Investment
  • Other transfers

Brazil − France gap by type of spending, points of GDP

  • Brazil − France · 2023

Yearly data

Show the table of revenue, spending, balance and debt by year
YearRevenueSpendingBalanceBalance (% of GDP)Debt (% of GDP)
2023R$4,114bnR$4,958bn−R$844bn−7.8%84.0%
2022R$3,980bnR$4,379bn−R$400bn−4.0%83.9%
2021R$3,401bnR$3,638bn−R$237bn−2.6%88.9%
2020R$2,628bnR$3,514bn−R$886bn−11.6%96.0%
2019R$2,821bnR$3,180bn−R$359bn−4.9%87.1%
2018R$2,605bnR$3,094bn−R$490bn−7.0%84.8%
2017R$2,392bnR$2,917bn−R$525bn−8.0%82.7%
2016R$2,352bnR$2,853bn−R$501bn−8.0%77.4%
2015R$2,213bnR$2,770bn−R$556bn−9.3%71.7%
2014R$2,031bnR$2,394bn−R$363bn−6.3%61.6%
2013R$1,938bnR$2,121bn−R$182bn−3.4%59.6%
2012R$1,779bnR$1,893bn−R$113bn−2.4%61.6%
2011R$1,603bnR$1,723bn−R$120bn−2.7%60.6%
2010R$1,397bnR$1,536bn−R$138bn−3.6%62.4%

Sources and method

  • IMF, Government Finance Statistics (GFS). Revenue by type of tax, spending by nature and by function (COFOG), balance by level of government, net financial worth: Brazilian general government, 2010–2023. France is read from the same tables for the comparison.IMF GFS (DBnomics)
  • IMF, World Economic Outlook (April 2025). General government gross and net debt and balance, % of GDP, since 2000.IMF World Economic Outlook, April 2025
  • OECD, national accounts. GDP deflator.OECD Table 1
  • World Bank. Share of people aged 65 and over.World Bank SP.POP.65UP.TO.ZS
  • Method. Spending = expenses + net investment in non-financial assets; balance = net lending or borrowing. Constant reais: current reais adjusted by the GDP deflator. Interest is recorded on an accrual basis, including the uplift of inflation-indexed securities: it differs from the “juros nominais” published by the central bank. Gross debt on the IMF definition includes Treasury securities held by the central bank, which puts it above the gross debt published by Brazil.
  • Further reading. National Treasury, Central Bank of Brazil, the Senate’s Independent Fiscal Institution.Tesouro Nacional — Estatísticas fiscaisBanco Central do Brasil — Estatísticas fiscaisInstituição Fiscal Independente