The Lula government’s proposed Desenrola 3.0 would shift debt negotiation from individual borrowers to public auctions: the state would buy distressed bank debt portfolios at steep discounts and pass those reductions on to households.

Planning Minister Bruno Moretti said the scheme targets up to R$150 billion in overdue debts at an estimated public cost of R$15 billion. It would cover eligible debts of up to R$10,000, particularly credit-card and unsecured personal-loan balances, with the winning lenders those offering the deepest discount. “These discounts will be passed directly to families, to borrowers, to those who hold the debt,” Moretti said.¹

The government’s case is that the scale of a public purchase can secure better terms than borrowers could obtain alone. Moretti linked the initiative to restrictions on online betting, arguing that debt restructuring and tighter credit oversight should work together to prevent households from falling back into arrears. The reported framework does not, however, set out all repayment terms for any balance left after the discount.¹

Right-leaning coverage has focused less on the auction mechanism than on the political calendar. One report noted that the announcement came nine days before the first round of the presidential election and alongside other recent economic and social measures. It said the program could reach 15 million people, with the government expecting to renegotiate R$75 billion of the R$150 billion eligible pool.²

A second report questioned whether the formula can curb indebtedness over time, citing Central Bank data that it said showed R$1.15 in new debts for every R$1 renegotiated during the first phase. It characterized earlier versions as unsuccessful and argued that overall household debt had continued to rise despite participation by millions.³

Both accounts agree on the program’s central promise: discounts potentially near 90% for old debts that banks consider difficult to recover. Their disagreement is over what that promise represents—an unusually broad debt-relief intervention, or a costly, late-stage measure with an uncertain record of durable results.

[1] Desenrola 3.0 plans to buy R$ 150 billion in debts and has an estimated cost of R$ 15 billion, says Moretti — “These discounts will be passed directly to families, to borrowers, to those who hold the debt.”

[2] 9 Days Before the Election, Government Launches 3rd Phase of Desenrola — Report on the program’s timing, eligibility and projected reach.

[3] Lula announces purchase of up to R$ 150 billion in debts before elections — Report questioning the lasting effect of earlier Desenrola phases.