Government of RS requests suspension of debt payment with the Union

The Government of Rio Grande do Sul requested the suspension of payment of the monthly installment of the State’s debt with the Union for the period that the damage caused by the rains is being reconstructed. The request is part of the planning to restore infrastructure and boost the local economy. The State’s debt to the Union is R$3.5 billion.

In addition to postponing debt payments, Governor Eduardo Leite (PSDB) wants the creation of a fund with Union resources to inject credit into the State’s private sector. The requests are in the rain report released this Sunday (May 5, 2024). Read the full document (PDF – 21 MB).

Read the requests for Milk to the federal government below:

Financial support:

• Suspension of payment of the monthly debt installment for the period that the reconstruction lasts;
• Suspension of payment of debt financial charges;
• Authorization to reduce the financial flow necessary for the payment of court orders;
• Authorization to carry out credit operations for investments, with extension of the contracting period; It is
• Creation of a fund, along the lines of the constitutional funds of the North, Northeast and Central-West, with resources from the Union, for full application in initiatives to be implemented in the private sector, especially micro, small and medium-sized entrepreneurs.

Tax Support:

• Suspension of the application of the fiscal limits of Article 167-A of the Constitution;
• Relaxation of spending cap rules;
• Relaxation of limits for hiring personnel;
• Relaxation of Tax Recovery Regime restrictions;
• Completion of the analysis of the request for review of the Tax Recovery Plan; It is
• Submission of the PLP (Complementary Bill) Interest for Education.

Bureaucratic Support:

• Removal of administrative and fiscal contracting rules;
• Institution of a permanent and simplified hiring regime, inspired by the covid-19 pandemic legislation; It is
• Simplification of procedures for accessing financial resources from National Civil Defense, Social Assistance and others.

Technical support

• Creation of a specialized body dedicated to the actions necessary to face the climate emergency and reconstruction; It is
• Hiring technical staff to prepare and implement the necessary plans and actions.