Brazil federal state-owned firms post R$6.5bn deficit, worst since 2002

Brazilian federal state-owned companies recorded a cumulative deficit of R$6.5 billion through August, the largest since 2002, though August alone posted a surplus of R$1.759 billion. The deterioration signals fiscal strain in the public sector, potentially complicating the government's fiscal targets. The data is preliminary and subject to revision, but it underscores persistent fiscal challenges.