trending Market Intelligence /marketintelligence/en/news-insights/trending/Yqrs-zLoPmZCVGnSsmNN-A2 content
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us
In This List

Brazil's government to temporarily suspend debt payments from troubled states

Banking Essentials Newsletter - November Edition

University Essentials | COVID-19 Economic Outlook in Banking: Rates and Long-Term Expectations: Q&A with the Experts

Estimating Credit Losses Under COVID-19 and the Post-Crisis Recovery

StreetTalk – Episode 70: Banks' Liquidity Conundrum Could Fuel M&A Activity


Brazil's government to temporarily suspend debt payments from troubled states

The Brazilian government said it will temporarily suspend debt payments from states with financial difficulties, according to a tax recovery regime published by the Ministry of Finance on Dec. 14.

The measure would authorize states to enter debt restructuring with financial institutions. On the other hand, it would not allow states to contract new credit operations during the recovery regime.

The measure, which would have voluntary membership, requires approval from the Brazilian Congress before it can be enacted.

Three Brazilian states have declared a state of financial calamity so far: Minas Gerais, which controls Banco de Desenvolvimento de Minas Gerais SA, Rio Grande do Sul, which controls Banco do Estado do Rio Grande do Sul SA, and Rio de Janeiro.