In this second edition, the Fiscal Outlook Report presents and discusses 10-year projections for the main fiscal variables of the Federal Government. In addition to the recurring content of this report, a novelty is the inclusion of boxes in which specific analyzes are presented on the evolution of some topics of interest at the time, such as compensation and tax refunds, the recent expansion of the government's income transfer program federal government, the proposed reform of the Brazilian fiscal framework presented by technicians from this Secretariat, the effects of the recent GDP review by the IBGE on debt indicators and the fiscal impacts of PEC nº 32/2022 ("PEC of Transition").

This report also marks a change in the choice of the net debt benchmark: the Net General Government Debt (DLGG) instead of the Net Public Sector Debt (DLSP). The rationale for this change is also the subject of a specific box in this issue.

The projections illustrate a challenging scenario for conducting fiscal policy in the coming years, pointing to the need for fiscal consolidation and the proposition of fiscal rules capable of promoting the sustainability of the public debt.