Mato Grosso stands out in fiscal strength and competitiveness among states, study shows

Marcela Leiros – from Cenarium Magazine

MANAUS – Mato Grosso occupies the 1st place in the ranking that measures the fiscal solidity of the Brazilian states, and the 5th position when the subject is competitiveness, according to the report “Ranking of Competitiveness of the States”, from the Center for Public Leadership (CLP), 2022. Being part of the Legal Amazon, MT is the state in the region with the best position.

Fiscal solidity, according to CLP, is a fundamental condition for the long-term sustained growth of a country, states or municipalities. If government revenues are continuously below its expenses, the government incurs negative fiscal results (deficits), and consequently there is an increase in its indebtedness and a decrease in its capacity to invest in the expansion and maintenance of public services.

“The low supply and quality of public services generates economic and social losses to its citizens. A government that cannot ‘close its books’ loses credibility and trust on the part of taxpayers, companies, and national and international investors”, explains the organization.

In first place, Mato Grosso is followed by Espírito Santo, Alagoas, Bahia and Pará (also in the Amazon region). In last place is Rio Grande do Norte. In relation to the last edition, Mato Grosso moved from 2nd to 1st place, Espírito Santo fell from 1st to 2nd place, and Alagoas moved from 5th to 3rd place.

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See the ranking below:

Competitiveness

The Competitiveness Ranking aims to achieve a deeper understanding of the 27 states, bringing to the public a simple and objective tool to guide the actions of Brazilian public leaders in improving the competitiveness and public management of their states.

“The competitive element is compatible with the idea of a federative republic such as the Brazilian one. Healthy competition makes States and municipalities seek to improve their public services, attracting companies, workers and students to live and develop socially and economically”, says the study.

Read also: Mato Grosso, Tocantins and Maranhão were the states that burned the most Cerrado in 2022

Indicators considered fundamental for the promotion of competitiveness and improvement in the public management of the Brazilian states were selected, distributed in ten thematic pillars: Infrastructure, Social Sustainability, Public Safety, Education, Fiscal Soundness, Efficiency of the Public Machine,
Human Capital, Environmental Sustainability, Market Potential and Innovation.

The best positioned states in the ranking were São Paulo, in first place, and Santa Catarina, in second place. In this edition, there was a change of position between the third and fourth places, with Paraná reaching 3rd place and the Federal District dropping to 4th. Mato Grosso is in 5th place in this ranking.

The last three places in the 2022 States Competitiveness Ranking were Amapá, Maranhão – both in the Legal Amazon -, and Piauí.

Check out the full study: