Municipal Budget: Rio de Janeiro

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2016
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In recent years there has been a systematically growth of public expenditure in the federal and state spheres above revenues. In Rio de Janeiro city this can also be seen. The figure below shows the real values (updated to 2016 prices) of total committed expenditure and total revenue of the city from 2008 - 2015, revealing that within the eight years analyzed, in only two was revenue higher than expenditure (2009 and 2010). In the last three years, the difference has always been negative (expenditure higher than revenue). If we sum real expenditure from 2009 - 2012 (previous mandate) and deduce real revenue in the same period, the difference is positive - R$54 million. On the other hand, if we do the calculation for the last mandate (2013-2015), we have a negative difference of R$1.7 billion. There is some evidence that the situation in 2016 will also be unfavorable, since until the time the research was carried out, expenditure (including accrued liabilities) was already 3.3% higher than revenue. This situation has implications for the increase of debt, which will be shown below.


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