President Luiz Inácio Lula da Silva travels to Rio de Janeiro on Monday to formalize the state's adhesion to the Program for Full Payment of State Debts.
The signing will take place at Palácio Guanabara with acting governor Ricardo Couto. Authorization was granted by Lula on May 5 after a request made in December 2025.
With the adhesion Rio will leave the Fiscal Recovery Regime. The monthly debt payment to the Union should fall from about R$ 490 million to approximately R$ 113 million.
The state's total debt with the Union exceeds R$ 237 billion according to the National Treasury. PROPAG was articulated by former Senate President Rodrigo Pacheco.
