The Federal District government sent a new version of the bill to the Legislative Chamber with measures to help BRB after the losses caused by operations with Banco Master, liquidated by the Central Bank. Among the changes are the provision of a loan of up to R$6.6 billion with the Credit Guarantee Fund (FGC) or with financial institutions to capitalize the state bank.
This is one of the three options foreseen in the project to reinforce BRB’s assets. There is also provision for paying in share capital, making equity contributions and other legally permitted forms of asset reinforcement, including with movable or immovable assets and the prior sale of public assets, movable or immovable, with subsequent allocation of the sale proceeds to BRB’s equity reinforcement.
In the previous version, the third option was generic and referred only to “other legally permitted measures that meet the standards of the national financial system”. Now the new text mentions “including credit operations with the Credit Guarantee Fund (FGC) or financial institutions, up to a limit of R$6,600,000,000.00.”
Another change in the project was the reduction of DF public assets offered as collateral. In the first project, there were 12 assets, now there are nine. There were also changes in the land offered. For example, an area of Parque do Guará was removed from the list. The Metropolitan Center (Centrad), a building that was built to be the administrative headquarters of the DF government and has been abandoned for 10 years, was maintained.
In general, the text authorizes the Federal District, as controlling shareholder of BRB, to adopt measures aimed at recomposing, reinforcing or expanding the net equity and share capital of the financial institution.
As GLOBO showed, emissaries from governor Ibaneis Rocha (MDB) are meeting with executives from the country’s largest banks to assess the feasibility of a loan to capitalize the bank, as it does not have sufficient cash resources. The government, however, denies the negotiations.
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BRB has a hole in its balance sheet due to operations with Master. In exchange for fraudulent credit portfolios worth R$12.2 billion, the state bank received assets from Master, but there are doubts about their quality. The BC has already indicated that the DF institution must have to provision at least R$5 billion.
As this value is greater than BRB’s own net worth, of R$4 billion in the second quarter of 2025 (last known result), the bank’s liabilities must exceed its assets, which means a breach of prudential rules and requires a readjustment plan, which will have to be presented together with the results. The deadline is March 31st.
Therefore, a contribution from the Federal District, BRB’s controlling shareholder, is considered inescapable to resolve the patrimonial problem, which becomes greater as time passes. According to sources at Faria Lima, negotiations to grant the loan to the DF have advanced and there is optimism about a positive outcome.
