Rousseff Wants Brazil Budget Cuts Under 60Bln Reais, Estado Says

Jan. 15 (Bloomberg) -- Brazil’s President Dilma Rousseff wants a smaller reduction in budget cuts than the finance ministry calculates is needed to hit 2012 fiscal targets, O Estado de S.Paulo newspaper reported, without saying where it obtained the information.

The ministry estimates that a 60 billion reais ($34 billion) reduction is necessary to achieve its goal of a budget surplus before interest payments of 3.1 percent of gross domestic product, while Rousseff seeks a smaller cut to conserve investment spending, the newspaper said.

Rousseff has three meetings scheduled with ministers between Jan. 19 and Jan. 21 to discuss the cuts, the Sao Paulo-based newspaper said.

To contact the reporters on this story: Matthew Bristow in Brasilia at mbristow5@bloomberg.net.

To contact the editor responsible for this story: Joshua Goodman at jgoodman19@bloomberg.net.