NATIONAL DEPARTMENT OF BUSINESS REGISTRATION AND INTEGRATION OF THE MINISTRY OF ECONOMY (“DEPARTAMENTO NACIONAL DE REGISTRO EMPRESARIAL E INTEGRAÇÃO DO MINISTÉRIO DA ECONOMIA” – “DREI”)- NORMATIVE INSTRUCTION No. 59 SIMPLIFIES THE PROCEDURE FOR OPENING, ALTERATION AND CLOSURE OF BRANCHES OF FOREIGN COMPANIES IN BRAZIL
On April 15th, 2019, the National Department of Business Registration and Integration of the Ministry of Economy ("DREI") issued Normative Instruction No. 59, amending Normative Instruction DREI No. 07/2013, which, in turn, expresses the authorization for the nationalization or installation of a branch, agency, or establishment in Brazil by a foreign company.
The purpose of this Normative Instruction is to simplify the procedure for requesting authorization from the Federal Government so that a foreign company may install a branch, agency, or establishment in Brazil through the implementation of a digital system for this purpose.
With the new Normative Instruction, it is possible for foreign businessmen to request authorization from the Federal Government through the Federal Government Service Portal on the Internet.
In addition, Normative Instruction No. 59 establishes the possibility of using the Federal Government's Service Portal on the Internet for approval by the Federal Government of (i) changes that the foreign company authorized to operate in Brazil implement in its contract or bylaws, in order to produce effects in Brazil; and (ii) cancellation of the authorization for the installation or operation of a branch, agency or establishment.