With this prepayment, the Bank has liquidated R$ 210 billion in debts with the Union since December 2015
The Brazilian Development Bank (BNDES) on Thursday, 29, at the Federal Court of Accounts made the prepayment of R$ 30 billion (thirty billion reais) for the early settlement of contracts No. 755 and 807/PGNF/CAT and for the partial settlement of contract 904/PGNF/CAT, signed between BNDES and the Union. With this prepayment, the Bank has liquidated R$ 210 billion (two hundred and ten billion reais) in debts with the Union since December 2015
The liquidation of R$ 30 billion on this date followed the decision approved by BNDES’s directors on last March 5 and by the Bank’s Advisory Board on the 9th of this month. It also followed the same procedure adopted in all prepayment operations since December 2016.
For the processing of these operations, BNDES sends an official letter to the Brazilian Treasury Department (STN), informing the prepayment’s approval and submitting the proposal of contracts to be prepaid for approval. From then on, the approval is up to the STN, being issued by the Ministry of Finance (an instance that, by contract, can formally authorize the anticipation). The issued order registers that the resources must be used for the sole purpose of reducing the debt, in accordance with the terms approved by the TCU in 2016.