Brazil distributes federal FPE and FPM funds to states and municipalities

The Brazilian National Treasury has announced the distribution of federal funds for the first decêndio of September, involving significant transfers through the State Participation Fund (FPE) and the Municipal Participation Fund (FPM).

Acre is set to receive R$ 175.02 million from the FPE, a total composed of R$ 106.84 million under Complementary Law 62/1989 and R$ 68.17 million under Complementary Law 143/2013. The distribution is based on federal tax collections, specifically Income Tax (IR) and Industrialized Products Tax (IPI).

Nationwide, the FPM transfers include R$ 4.9 billion for the first decêndio of September, plus an additional R$ 9.7 billion resulting from the 1% extra installment implemented by Constitutional Amendment 112/2021. In Cachoeira do Sul, the municipal treasury will receive R$ 5,379,741.29. The National Confederation of Municipalities (CNM) noted that these resources are vital for fiscal stability, as over 54% of Brazilian municipalities are currently facing financial deficits.