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Sure they can. See example here: https://www.postgresql.org/docs/current/plpgsql-transactions...

You're a release behind with that as the other person who replied said. I've made use of them for helping manage ETL flows between my DW and OLTP database.

Slightly off-topic, but how comfortable are people with using stored procedures nowadays? I had developers in the past swear by them and I know that the early version of CloudFlare was almost entirely built using stored procs. On the other hand, I've had others who view them as something to be avoided at all costs.