H&R ( Germany) has lowering springs for the Palio Mk1 version.
They lower the car about 2-3 cm.
I have them on our Palio, and the ride is good.
The car feels "firmer" and because it only lowers the car a few cm's, it doesn't look to "pimped"...!!
Only drawback: the paint quality is poor, so the springs start rusting fast.