IFI: Brazil 2027 Budget Faces R$35.7B Contingency to Meet Fiscal Target

Brazil's Independent Fiscal Institution (IFI) finds the 2027 budget bill overestimates revenues and underestimates expenses, projecting a primary result of only R$0.9 billion versus the R$36.6 billion lower target limit. This implies a required contingency of R$35.7 billion, signaling fiscal risk and potential pressure on Brazilian assets.