Brazilian Banks to Advance R$32.5 Billion to Deposit Insurance Fund on March 25

Overview

• Banks will prepay R$32.5 billion to the FGC on March 25, an amount equal to about 60 months of regular contributions.
• The recomposition plan front-loads 84 months of payments across 2026–2028 and adds an extraordinary levy equal to 50% of the traditional rate, or 0.06 percentage point per year.
• The acceleration follows significant disbursements tied to the liquidation of Banco Master, which increased demands on the fund.
• The Central Bank estimates its measure allowing access to part of sight-deposit compulsories could free roughly R$30 billion in 2026.
• Caixa’s finance chief says the relief averts an immediate balance-sheet impact for the bank and that FGC costs, reported to exceed R$50 billion sectorwide, are treated as funding expenses reflected in credit pricing.