Brazil's Correios to receive R$ 7 billion bank loan next week

Correios plans to secure R$ 7 billion in private banking loans during the upcoming week. The state-owned entity expects finalizing contracts with Banco ABC, Citibank, Deutsche Bank, and J.P. Morgan on September 15. To mitigate repayment risks given the company's recent losses, Correios requested that the Treasury National serve as the borrower's guarantee for this transaction. Financial analysts note the service paid a 0.46% monthly interest rate (equivalent to approximately 114.26% of the Interbank Deposit Certificate rate), covering 15 years with an initial three-year payment deferral. The company faces significant financial pressure; losses reached R$ 8.5 billion in 2025 and totaled R$ 5.5 billion in the first six months of the current year. In December, a similar R$ 12 billion loan was issued under identical Treasury terms. Beyond bank debt, federal resources allocated R$ 6 billion to Correios for 2026 as part of a restructuring strategy aiming to restore profitability.