UPDATE 1-Brazil proposes freezing Rio Grande do Sul's debt payments after floods

(Adds further details in paragraphs 3-9)

BRASILIA, May 13 (Reuters) - Brazil's government will send to Congress a bill proposing to freeze debt payments from Rio Grande do Sul state, which has been battered by deadly floods caused by record rains in recent weeks, the country's finance minister said on Monday.

In a broadcast virtual meeting with Rio Grande do Sul's governor and President Luiz Inacio Lula da Silva, minister Fernando Haddad said the proposed bill would freeze 11 billion reais ($2.14 billion) in debt payments for three years.

Speaking to reporters after the meeting, Haddad said the proposal would also scrap the charging of 4% annual interest on the debt stock during this period, which will be adjusted only for inflation for subsequent payment.

Currently, Rio Grande do Sul holds a nearly 100 billion reais debt to the federal government, which is adjusted for inflation plus 4% per year, said Haddad.

With the interest relief, the southernmost Brazilian state will benefit from a 12 billion reais forgiveness in debt charges, the minister added.

The measure comes after the government issued an executive order over the weekend for 12.2 billion reais in extraordinary credit for crisis response actions, including provision for credit programs previously announced by the finance ministry for assistance to small and medium-sized businesses and family agriculture.

In coming days, Lula da Silva will focus on a specific measure of direct support to families, said Haddad, without giving any details.

"As the problems are being assessed, we will take measures. It's very difficult at this point to predict how far we will go, I don't have a secure estimate," he said.

The devastation resulting from the historic flooding in the state has already left at least 147 dead, displacing more than half a million residents and damaging multiple buildings, bridges and roads. ($1 = 5.1507 reais) (Reporting by Bernardo Caram and Marcela Ayres in Brasilia; Editing by Leslie Adler and Sandra Maler)