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Central Bank shows that the consolidated public sector was in the red last month, with a deficit in the Central Government and state-owned companies, while states and municipalities pulled a surplus
The Central Bank reported that the consolidated public sector, made up of the Union, states, municipalities, and state-owned companies, recorded a deficit of R$ 16.4 billion in February 2026. This data appears in the “Fiscal Statistics” report released this Tuesday (31).
According to the Central Bank, the result for the month came with deficits in the Central Government and state-owned companies, partially offset by the surplus from regional governments. Over the 12-month period, the consolidated public sector totaled deficit of R$ 52.8 billion, equivalent to 0.41% of GDP, while gross debt rose to 79.2% of GDP, reaching R$ 10.2 trillion.
What the Central Bank measured and why it matters
The Central Bank consolidates the public sector accounts by gathering the fiscal performance of different spheres. In practice, this breakdown shows whether the state as a whole spent more than it collected during the period, in addition to helping to track the dynamics of public debt.
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When the public sector closes in deficit, the pressure on financing and debt tends to increase, especially in scenarios of high interest rates and the need for constant rollover of liabilities.
February deficit detailed by sector
In the breakdown for February 2026, the Central Bank pointed out distinct results within the consolidated public sector:
Central Government: deficit of R$ 29.5 billion
State-owned companies: deficit of R$ 568 million
Regional governments: surplus of R$ 13.7 billion
The contrast is direct: while the Central Government and state-owned companies pulled the result down, states and municipalities were the counterbalance for the month.
Historical series for February shows strong fluctuation in fiscal balance
The Central Bank also provided the historical series for February, which helps to understand how the result varies year by year:
February 2022: surplus of R$ 3.47 billion
February 2023: deficit of R$ 26.4 billion
February 2024: deficit of R$ 48.7 billion
February 2025: deficit of R$ 18.97 billion
February 2026: deficit of R$ 16.388 billion
The 2026 figure improves compared to 2024 and 2023, but maintains the pattern of February in the red, with the exception of 2022.
In the accumulated 12 months, deficit reaches R$ 52.8 billion
In the longer horizon, the Central Bank reported that, over 12 months, the consolidated public sector accumulated deficit of R$ 52.8 billion, equivalent to 0.41% of GDP.
This number serves as a thermometer of fiscal pace, as it reduces the effect of a single month and shows the more consistent trend of inflows and outflows over time.
Gross debt rises to 79.2% of GDP and reaches R$ 10.2 trillion
Another highlight of the Central Bank report was the General Gross Debt, which includes federal government, INSS, and state and municipal governments. It rose to 79.2% of GDP, reaching R$ 10.2 trillion.
Gross debt is one of the most closely watched indicators as it reflects the financing needs of the public sector and the sensitivity of accounts to interest costs.
What this fiscal portrait suggests for the short term
Based on what the Central Bank presented, February reinforces three main signals:
The deficit is still recurring in February, even with improvement compared to more critical years
The Central Government remains the largest driver of the monthly result when it closes in the red
Gross debt remains high, keeping the fiscal issue at the center of attention
In a scenario of high debt, each fluctuation in the fiscal balance gains weight, as it affects risk perception, financing costs, and expectations about economic policy.
And you, do you think that the February deficit and the debt at 79.2% of GDP should already provoke immediate changes in how the government controls spending and revenue?
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