(MENAFN- Qatar News Agency) The Brazilian government foresees a budget deficit of 30.5 billion reais (8.4 billion dollars), according to a proposed budget for 2016 put forth Monday in parliament.
The proposal, put forth by President Dilma Rousseff's budget minister, foresees a budget deficit for the first time in the history of the South American country. The 30.5 billion reais shortfall is about 0.5% of gross domestic product, according to the ABR news agency.
The proposed bill projects economic growth of 0.2% in the coming year. Inflation in 2016 is estimated to be 5.4% in 2016, lower than the 9.3% expected this year.
The world's seventh-largest economy is in recession, with a projected 1.8% decline in GDP in 2015. A massive corruption scandal involving the country's largest company, the oil giant Petrobras, has been shaking Brazil for months and prompted calls for the impeachment of Rousseff.
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