Brazil's gross debt ends 2025 at lower-than-expected 78.7% of GDP

BY Reuters | ECONOMIC | 06:39 AM EST

BRASILIA, Jan 30 (Reuters) - Brazil's gross debt ended 2025 at ?78.7% of gross ?domestic product (GDP), up ?from 76.3% ?in December ?2024 but below ?the ?79.5% expected by economists ?in a Reuters ?poll, ?central bank data showed on ?Friday.

The public sector recorded a primary surplus of ?6.251 billion ?reais ($1.20 billion) for the ?month, exceeding the 3 billion reais surplus forecast in the poll. ($1 = ?5.1930 reais) (Reporting by Marcela Ayres; editing ?by Gabriel Araujo)

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

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