Revitalising businesses

A new government programme to aid the economic recovery of financially troubled companies, thus avoiding insolvency, is due to start on May 20.

The Revitalizar programme follows the official publication of the new insolvency and business restructuring code (Código da Insolvência e da Recuperação de Empresas), which, on the one hand, simplifies insolvency procedures and, on the other, encourages business restructuring by enabling debtors to reach out-of-court agreements with creditors regarding the payment of existing debts.