A lei de responsabilidade fiscal e a evolução das despesas orçamentárias do estado de Minas Gerais

Abstract

The purpose of this article is to discuss aspects of the fiscal situation in the State of Minas Gerais based on the evolution of public debt, payroll, and social security. The first two accounts are analyzed from the perspective of compliance with the limits established by the Fiscal Responsibility Law (LRF). On the other hand, social security expenditures are measured based on the contribution of funds necessary to cover the actuarial deficit of the Social Security System. The results show a budget structure that was sustainable until mid-2015 when the economic crisis hit the state's fiscal execution. In 2018 and 2019 the performance was worst that in 2004, demonstrating the fiscal fragility of Minas Gerais in the period of economic recession and political instability.