Correios

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Brazilian National Treasury official rejecting a R$20 billion loan guarantee to Correios due to high interest rates, with disappointed company president.
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Treasury vetoes r$ 20 billion loan to correios due to high interest rates

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The National Treasury refused to provide a guarantee for a r$ 20 billion loan negotiated by Correios with a bank consortium, deeming the interest rate excessive. The decision was communicated to the state-owned company's president, Emmanoel Rondon, on Tuesday, December 2, 2025. The company now seeks new negotiations to adjust the terms.

The Monetary Council (CMN) has authorized Correios to secure a loan of up to R$ 8 billion in 2026, backed by the Union, to fund its restructuring plan. This is an initial step, pending further approvals from the Treasury and banks. The company aims to prevent financial crises during the election period.

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The federal government published a decree allowing struggling state-owned companies, like Correios, to submit reequilibration plans with punctual Union contributions, avoiding immediate Treasury dependence. The measure paves the way for a sovereign guarantee on a R$ 20 billion loan to the company. The aim is to strengthen fiscal management without turning support into a permanent subsidy.

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