Paloma Anos Casero Country Director 24-Sep-2021 Brazil _________ His Excellency Eduardo Figueiredo Cavalheiro Leite Governor State of Rio Grande do Sul Palacio Piratini Praca Marechal Deodoro, s/n 90010-282 - Porto Alegre, RS Brazil His Excellency Paulo Guedes Minister of Economy Ministry of Economy Procuradoria Geral da Fazenda Nacional - PGFN Esplanada dos Ministerious, Blogo P - 8° Andar 70048-900, Brasilia, DF Brazil Excellencies, Re: Amendment to Loan Agreements We refer to the Loan Agreements entered into between the State of Rio Grande do Sul (the “Borrower”) and the International Bank for Reconstruction and Development (the “Bank”) in respect of the Loans listed in Annex 1 to this letter (the “Loan Agreements”) and the Guarantee Agreements, entered into between the Federative Republic of Brazil (the “Guarantor”) and the Bank in respect of the Loan Agreements. We also refer to the letter, dated as of the date hereof explaining the rationale for the requested amendments, and our subsequent discussion on the execution and delivery of documents under the Loan Agreements by electronic means. In connection with the LIBOR transition planning and the Bank’s objective to pr eserve alignment between its funding and lending costs, we hereby confirm the Bank’s agreement to amend the relevant provisions of each of the Loan Agreements for the Loans listed in Annex 1 to this letter so as to modify the General Conditions and Loan Agreements applicable to such Loans as provided in Annex 2 to this letter. In the interests of fairness, transparency, and consistency, we are offering the same terms to all borrowers for all Bank loans. Not all of the terms will be relevant for all borrowers. However, signing this proposal will ensure that all of your loans will be amended to preserve your economic bargain with the Bank over the full lifetime of those loans. Moreover, in order to facilitate the execution and delivery of this amendment and any future documents under the Loan Agreements by electronic means, we hereby confirm the Bank’s agreement to amend the relevant provisions of each of the General Conditions dated prior to July 14, 2017 applicable to the Loans by applying, mutatis mutandis, the provisions relating to execution by electronic means and electronic documents set forth in the applicable General Conditions dated December 14, 2018 (revised on August 1, 2020) to such General Conditions. Please confirm your agreement with the foregoing by signing, dating and returning to us the enclosed copy of this letter. This amendment shall become effective upon due execution by both parties. Sincerely, Paloma Anos Casero Country Director Brazil AGREED: STATE OF RIO GRANDE DO SUL Eduardo Leite By : Title : Governador do Estado do Rio Grande do Sul Date : 18-out-2021 AGREED: FEDERATIVE REPUBLIC OF BRAZIL Sônia de Almendra Freitas Portella Nunes By : Title : Procuradora da Fazenda Nacional Date : 03-jan-2022 CC: Mr. Marcelo Pacheco dos Guaranys, Executive Secretary, Ministry of Economy, secretariaexecutiva@economia.gov.br Mr. Roberto Fendt, Secretary, Secretariat of Foreign Trade and External Affairs, Ministry of Economy, agenda.secint@economia.gov.br Ms. Cinara Maria Fonseca de Lima, Chief of Staff, Ministry of Economy, gabinete.ministro@fazenda.gov.br Mr. Erivaldo Alfredo Gomes, Secretary, SAIN/ME, sain@economia.gov.br; erivaldo.gomes@economia.gov.br Mr. Carlos Eduardo Lampert Costa, Undersecretary, SAIN/ME, sain@economia.gov.br, carlos.lampert@economia.gov.br Mr. Marcos Guimarães, Undersecretary, SAIN/ME, sain@economia.gov.br; marcos.m.guimaraes@economia.gov.br Mr. Bruno Funchal, Secretary, National Treasury, STN/MF, gab.df.stn@tesouro.gov.br Mr. Ricardo Soriano de Alencar, Attorney General, PGFN/ME, apoiocof.df.pgfn@pgfn.gov.br Mr. Abraham Weintraub, Executive Director for Brazil, The World Bank Mr. Luis Fernando Uribe, Alternate Executive Director for Brazil, The World Bank ANNEX I List of Loans by Project Name and Number Loan Commitment Original Agreement Index Project Name Number Currency Principal Amount Signing Date Type Rio Grande do Fiscal Sustainability for 7584 USD 1,100,000,000 1-Sep-08 LIBOR Growth Development Policy Loan SWAp to Strengthen Public Investment Project 8155 Programa de Apoio à Retomada do USD 480,000,000 11-Sep-12 LIBOR Desenvolvimento Econômico e Social do Rio Grande do Sul Rio Grande do Sul Strengthening Fiscal And Water Resources Management Development Policy Loan - 8379 USD 280,000,000 20-Aug-14 LIBOR Programa de Consolidação do Equilíbrio Fiscal para o Desenvolvimento do Estado do Rio Grande do Sul - II -5- Loan Agreements Amendment ANNEX II Amendments to General Conditions applicable to Loans 1. Article III, Section 3.021, paragraph (c) is amended as follows: “(c) If interest on any amount of the Loan is based on LIBOR or EURIBOR, and the Bank determines that (i) such Reference Rate has permanently ceased to be quoted for the relevant Currency, or (ii) the Bank is no longer able, or it is no longer commercially acceptable for the Bank, to continue to use such Reference Rate, for purposes of its asset and liability management, the Bank shall apply such other Reference Rate for the relevant Currency, including any applicable spread, as it may reasonably determine. The Bank shall promptly notify the Loan Parties of such other rate and related amendments to the provisions of the Loan Agreements, which shall become effective as of the date of such notice. In exercising this authority, the Bank shall act solely to maintain and preserve the pre-existing relationship between its borrowing costs and its lending rates, and will not seek any commercial advantage for itself.” 2.2 Article III, Sections 3.02 or 3.03, as applicable, are amended by adding a new paragraph in accordance with the applicable numbering sequence, as follows: “(--) If the Bank determines that (i) LIBOR has permanently ceased to be quoted for the relevant Currency, or (ii) the Bank is no longer able, or it is no longer commercially acceptable for the Bank, to continue to use LIBOR, for purposes of its asset and liability management, the Bank shall apply such other reference rate for the relevant Currency, including any applicable spread, as it may reasonably determine. The Bank shall promptly notify the Borrower or the Guarantor of such other rate and related amendments to the provisions of the Loan Agreements, which shall become effective as of the date of such notice. In exercising this authority, the Bank shall act solely to maintain and preserve the pre-existing relationship between its borrowing costs and its lending rates, and will not seek any commercial advantage for itself.” 3.3 Sub-paragraph (c) in the defined term “Reference Rate” in Appendix, as applicable, is amended as follows: 1 Applicable to loans governed by the General Conditions of post-2010 vintages (General Conditions for Loans, dated July 31, 2010; General Conditions for Loans, dated March 12, 2012; General Conditions for IBRD Financing: Investment Project Financing (2017); General Conditions for IBRD Financing: Development Policy Financing (2017); General Conditions for IBRD Financing: Program for Results (2017)). 2 Applicable to loans governed by the General Conditions that contained the defined term “LIBOR” (General Conditions Applicable to Loans and Guarantee Agreements for Fixed Spread Loans, dated September 1, 1999 (also, the version as amended through May 1, 2004); General Conditions for Loans, dated July 1, 2005 (also, the version as amended through October 17, 2007 and February 12, 2008)). 3 Applicable to loans governed by the General Conditions that contained the defined term “Reference Rate” (General Conditions for Loans, dated July 31, 2010; General Conditions for Loans, dated March 12, 2012; General Conditions for IBRD Financing: Investment Project Financing (2017); General Conditions for IBRD -6- Loan Agreements Amendment “(c) if the Bank determines that (i) LIBOR (in respect of USD, JPY and GBP) or EURIBOR (in respect of Euro) has permanently ceased to be quoted for such currency, or (ii) the Bank is no longer able, or it is no longer commercially acceptable for the Bank, to continue to use such Reference Rate, for purposes of its asset and liability management, such other comparable reference rate for the relevant currency, including any applicable spread, as the Bank shall reasonably determine, and notify to the Borrower pursuant to Section 3.02(c), provided that, in exercising this authority, the Bank shall act solely to maintain and preserve the pre- existing relationship between its borrowing costs and its lending rates, and will not seek any commercial advantage for itself; and” Amendments to Loan Agreements4 1. The relevant provisions of certain Loan Agreements specifying the applicable interest rate of the Loan based on LIBOR are amended by adding a new sub-paragraph in accordance with the applicable numbering sequence, as follows: “(--) If the Bank determines that (i) LIBOR has permanently ceased to be quoted for the relevant Currency, or (ii) the Bank is no longer able, or it is no longer commercially acceptable for the Bank, to continue to use LIBOR, for purposes of its asset and liability management, the Bank shall apply such other reference rate for the relevant Currency, including any applicable spread, as it may reasonably determine. The Bank shall promptly notify the Borrower or the Guarantor of such other rate and related amendments to the provisions of the Loan Agreements, which shall become effective as of the date of such notice. In exercising this authority, the Bank shall act solely to maintain and preserve the pre-existing relationship between its borrowing costs and its lending rates, and will not seek any commercial advantage for itself.” Financing: Development Policy Financing (2017); General Conditions for IBRD Financing: Program for Results (2017)). 4 Applicable to legacy Single Currency Loans governed by the General Conditions Applicable to Loan and Guarantee Agreements for Single Currency Loans of May 30, 1995 (also the versions as amended through October 6, 1999, December 2, 1997 and May 1, 2004), which refer to interest related provisions in the Loan Agreements.