Brazil's federal government posts $6.8 billion primary surplus in October

BRASILIA, Nov 26 (Reuters) - Brazil's federal government recorded a primary budget surplus of 36.5 billion reais ($6.83 billion) in October, official data showed on Wednesday.

The monthly result, which is usually positive in October, came in below the 41 billion reais surplus posted in the same month last year, according to figures from the treasury.

Despite a 4.5% real increase in net revenue, supported by record tax collection for the period, total expenditures rose at a faster 9.2% pace, driven by higher health outlays and social security benefits.

Over the 12 months through October, the central government's primary deficit reached 41.9 billion reais, equivalent to 0.35% of gross domestic product.

The government has set a target of balancing the primary budget this year, with a tolerance band of 0.25% of GDP above or below the goal.

Economic officials have repeatedly said the target will be met.

($1 = 5.3445 reais)