Financial Repression Tracker

Rules that steer savings into government debt or hold returns below inflation, country by country.

Rewrite · Extraordinary measures

Compulsory or forced loans to the state

What it is
Laws obliging taxpayers, consumers or savers to lend to the government or a state enterprise, repaid years later in bonds, fund quotas or nominal money at below-inflation rates.
Why it counts
The state raises funds that look like debt rather than tax, repays them later in depreciated money or illiquid paper, and so extracts a hidden levy on savings.

When it was in force

  • Brazil: 1964 → 1968, historical; its end is not documented
  • Brazil: 1986 → 1989, historical
  • Argentina: 1988 → 1989, historical

3 examples

  1. Brazil

    1964 → 1968Historical

    Its end is not documented · As cited: from 1962 (Lei 4.156 of 28 Nov 1962; later extended)

    Electricity consumers were obliged to buy Eletrobras bonds redeemable in ten years, as a surcharge on their power bills.

    Lei 4.156/1962, art. 4 (empréstimo compulsório Eletrobras)Primary source
    “o consumidor de energia elétrica tomará obrigações da ELETROBRÁS, resgatáveis em 10 (dez) anos, a juros de 12% (doze por cento) ao ano”

    planalto.gov.br (opens in a new tab)Checked: quote confirmed on the page by a reviewing agent

    Brazil today: index 49.9

  2. Brazil

    1986 → 1989Historical

    As cited: from July 1986

    Imposed a compulsory loan on fuel consumption and car purchases, frozen at the central bank and repayable after three years in quotas of the National Development Fund.

    Decreto-Lei 2.288 of 23 July 1986 (complementary measure to the Cruzado stabilisation programme of DL 2.284/1986), arts. 10-17Primary source
    “O empréstimo será resgatado no último dia do terceiro ano posterior ao seu recolhimento, efetuando-se o pagamento com quotas do Fundo Nacional de Desenvolvimento”

    planalto.gov.br (opens in a new tab)Checked: quote confirmed on the page by a reviewing agent

    Brazil today: index 49.9

  3. Argentina

    1988 → 1989Historical

    Compulsory saving regime for 1988 and 1989 based on taxpayers' income and wealth, repayable after 60 months with interest at the state savings-bank passbook rate.

    Ley 23.549, Título I (Ahorro obligatorio)Primary source
    “Establécese un régimen de ahorro obligatorio por los períodos anuales 1988 y 1989 sobre la base de los períodos fiscales 1986, 1987 y 1988”

    biblioteca.afip.gob.ar (opens in a new tab)Checked: quote confirmed on the page by a reviewing agent

    Argentina today: index 40.1

Examples and their dates reviewed .