Brazil central gov't budget surplus rises in Jan

BRASILIA, Feb 27 (Reuters) - Brazil's central government posted a budget surplus of 11.76 billion reais ($5.6 billion) in January, up from a surplus of 4.02 billion reais in the same month a year ago, the National Treasury said on Tuesday.

The surplus grew due to higher tax collections and a relatively smaller social security deficit, the Treasury said.

The surplus reflects spending by the Treasury, social security agency and central bank and feeds into the primary budget surplus, which is closely tracked by investors as a measure of Brazil's ability to pay its heavy debts.

Brazilian President Luiz Inacio Lula da Silva has said he may lower this year's primary budget surplus target by half a percentage point to 3.75 percent of gross domestic product in order to increase investment in infrastructure.

The central government surplus was equal to 6.68 percent of GDP in January versus 2.45 percent the same month a year ago.