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State of Rio Grande do Sul will strengthen the scope of fiscal balance with IDB support

A $60 million loan will contribute to the control of expenditure and the modernization of the State tax administration

 
Brazil will strengthen the recovery of the fiscal balance of the State of Rio Grande do Sul, through the control of public spending and the modernization of the tax administration with a loan of $60 million approved by the Inter-American Development Bank (IDB).
 
The program will contribute to improve management instruments, modernize the technological infrastructure and increase the transparency of fiscal management with society, enhancing the institutional performance of the Ministry of Finance and the Attorney General of the State of Rio Grande do Sul.
 
In the area of ​​tax administration, it will seek to increase collection efficiency, increase revenues and simplify compliance with obligations. It will also finance the implementation of better online care services available to Taxpayers of Tax on the Movement of Goods and Services and Tax on Property of Motor Vehicles, through self-help channels, such as portal, chat bot, mobile device applications and solutions Technological
 
Additionally, it will contribute to fiscal discipline and the increase in efficiency and effectiveness of public spending, through models of quality of expenditure and fiscal risks and public debt management systems, liabilities and assets of the State.
 
The project will enhance the performance of public finances by increasing tax collection and increasing the efficiency of public spending for greater fiscal sustainability of the State, benefiting citizens, businesses and taxpayers, and public and non-governmental sector entities.
 
The IDB loan of $60 million has a repayment term of 25 years, a grace period of five and a half years, an interest rate bate on LIBOR and has a local counterpart of $6.7 million.

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The Inter-American Development Bank is devoted to improving lives. Established in 1959, the IDB is a leading source of long-term financing for economic, social and institutional development in Latin America and the Caribbean. The IDB also conducts cutting-edge research and provides policy advice, technical assistance and training to public and private sector clients throughout the region. 

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Ana Lúcia Paiva Dezolt
IDB Project Team Leader
anapa@iadb.org