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๐Ÿ‡ง๐Ÿ‡ท Brazil /Economy & Trade

Banco do Brasil Demands R$337 Million from Rio Grande do Norte Over Loan Debt

From Folha de S.Paulo · () Portuguese

Translated from Portuguese, summarized and contextualized by DistantNews.

At a glance

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  • Banco do Brasil suspended personal loans for civil servants in Rio Grande do Norte due to the state government's R$337 million debt.
  • The bank claims the state government continues to deduct loan payments from employee salaries despite the suspension.
  • The state government acknowledges the debt and is negotiating with the bank for its settlement.

Banco do Brasil has suspended the offering of personal loans to civil servants, retirees, and pensioners in the Brazilian state of Rio Grande do Norte. The bank is demanding at least R$337 million from the state government, citing overdue payments for these loans. The suspension, which began in May 2025, comes as the state government, led by Governor Fรกtima Bezerra, has failed to meet its financial obligations to the bank.

Despite the suspension of new loans, state employees report that deductions for existing loans are still being made from their paychecks. A notification from Banco do Brasil to the government in May highlighted this discrepancy, stating that the suspension does not absolve the government of its responsibility to remit the outstanding amounts. The bank requested "immediate remittance of the amounts consigned in the payroll of the servers in the amount of R$377,414,056.07, calculated to date."

The state government has acknowledged the debt and is engaged in discussions with the bank to resolve the issue. A statement from the government indicated a prospect of full payment by the end of the current fiscal year. It also asserted that monthly remittances have been made regularly, with the payment for the current month being processed on Wednesday, June 10. The government maintains that it is meeting its current obligations and has not incurred new delays. Banco do Brasil declined to comment when contacted.

DistantNews Editorial

Originally published by Folha de S.Paulo in Portuguese. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.