05/23/2024 – 22:08
Credit operations linked to federal programs to help Rio Grande do Sul will have more flexible rules. The National Monetary Council (CMN) anticipated the application of a rule that would come into force next year for loans to the state with federal resources.
With the change, banks will have to make provisions (reserves to cover possible defaults) only if delays are greater than 90 days in paying the debt principal or interest. Even in these cases, provisions must be applied at the minimum levels defined by regulation.
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Originally effective from January 1, 2025, the new rule was brought forward for credit lines with Union resources destined for Rio Grande do Sul. The change benefits loans with direct resources from the Union, from federal public banks or covered by guarantee funds that cover possible defaults.
In a note, the Central Bank (BC) informed that, without the change, the minimum level of provision required in these operations would disregard the existence of guarantees from the Union that cover possible defaults and reduce the risk of credit lines. With a lower level of provisioning, the lending capacity of financial institutions is not affected.
According to the original regulations, it is the responsibility of the financial institution to assess the risk of default on each line of credit and create a sufficient provision to cover the expected losses associated with the operation. In the case of operations with a delay of more than 90 days, the minimum provision values defined in the regulations apply.
The CMN’s decision is based on the Provisional Measure 1,216which defines economic measures aimed at Rio Grande do Sul, and in the legislative decree of the National Congress that recognizes the situation of public calamity in the state.
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