Government says outstanding debts to public banks over $15 billion

The outstanding debts owed by the National Treasury to public banks and the Guarantee Fund for Length of Service (FGTS) total $15.12 billion. The amount was announced Wednesday (Nov. 4) by the economic staff, which submitted to the Joint Budget Committee in Congress an in-depth report on the federal government's debts.

The figure is slightly above the $14.5 billion reported last Thursday (29) by Deputy Hugo Leal, rapporteur of a bill changing this year's fiscal target. Should the government fail to strike a deal with the Federal Court of Accounts (TCU), it will have to settle the debt by December, which may raise 2015's primary deficit to over $31 billion.

This is the first time the government officially acknowledges its debts with the banks and the FGTS. Last week, National Treasury Secretary Marcelo Saintive had declared that operations were estimated at a total $13.2 billion.

*With additional information from Agência Câmara

Translated by Fabrício Ferreira