A lower deficit will promote more stability of the public debt-to-GDP ratio in the future, but the optimistic assumption of economic growth prompts us to foresee a Historical Balance of Public Sector Borrowing Requirements (HBPSBR) of 52.9% vs. 51.4% of GDP anticipated by the Finance Ministry.

The weakness in employment, observed since the beginning of the year, has intensified more than expected due to factors such as the closure of federal infrastructure projects and political and economic uncertainty. In October, formal employment grew by 1.4%, falling 0.3 percentage points short of expectations.