TLDR
- Brazil’s Senate extended Provisional Measure 1.355/2026 for 60 more days.
- The measure created the New Desenrola Brasil debt renegotiation program.
- Congress has not formed the joint committee needed to review the bill.
- The program blocks debt relief recipients from online betting for 12 months.
- Lawmakers now have until September 14, 2026 to vote on the measure.
Brazil’s Senate approved a 60-day extension of Provisional Measure 1.355/2026 this week. Senate President Davi Alcolumbre signed the extension. The measure created the New Desenrola Brasil debt renegotiation program.
The federal government first announced the program on May 4. Congress could not finish reviewing the bill within the original deadline. The extension gives lawmakers more time to complete the process.
What the Program Offers
The Desenrola program targets people earning less than BRL 8,105 per month. These individuals can refinance up to BRL 15,000 in debt per financial institution. The interest rate on refinanced debt is capped at 1.99% per month.
The program also covers micro and small businesses. It includes debt renegotiation options for people with FIES education loan obligations.
Under Brazilian law, a provisional measure takes effect once published. Congress must approve it to make the law permanent. Without approval, the measure can only be extended once for 60 more days.
Congress Still Has Work to Do
Lawmakers have not yet formed the joint congressional committee needed to examine the bill. Both chambers must appoint members before that committee can begin its review.
This delay is the main reason for the new extension. Congress now has until September 14, 2026 to vote on the measure.
If lawmakers do not vote by that date, the provisional measure will expire. The expiration would apply retroactively, canceling the program’s legal status from that point.
Betting Restrictions Tied to the Program
The Desenrola program includes a rule on online betting. Anyone who receives debt relief under the program will have their taxpayer ID blocked from placing new bets for 12 months.
The Brazilian government says the goal is to stop people from using debt relief funds for gambling. Officials want recipients to use the money to stabilize their finances instead.
The Secretariat of Prizes and Betting has already approved rules to enforce this restriction. Licensed betting operators must follow these rules for any blocked users.
Operators must block program beneficiaries from registering or placing bets during the 12-month period. Any bets already placed by a blocked user must be canceled.
Operators are also required to refund any deposited funds in full to affected users. This applies even if a bet was already active before the block took effect.
The betting restriction also keeps an existing rule in place. Credit cards and installment Pix payments remain banned as funding methods for betting accounts.
What Happens Next
Congress must form its joint committee before any vote can happen. After that, the bill needs approval from both the Senate and the Chamber of Deputies.
It remains unclear whether Congress can complete this process before the September deadline. Committee formation has already caused one delay.
Until Congress votes, the Desenrola program stays legally active. This includes the debt refinancing terms and the 12-month betting restriction for beneficiaries.
If Congress fails to act by September 14, the measure will lose its legal effect. That outcome would end the program retroactively, undoing its provisions from the original effective date.
For now, low-income Brazilians and small businesses can continue applying for debt relief under the program’s current terms.
