Government extends credit to SMEs with $2.2 billion funding

The federal government has extended for three months the term of credit operations under the National Support Program for Microenterprises and Small Businesses (Pronampe). The extension is formalised in an ordinance and received an additional contribution of R$ 12 billion in the Operations Guarantee Fund (FGO) for the granting of guarantees under Pronampe.

Source: Agencia Estado

Projects for sanitation of concessions and partnerships totalize $11.2 bn

The approval of the new sanitation framework should strengthen the entry of private investments in the sector. The government is studying concessions and Public-Private Partnerships (PPPs) projects that amount to R$ 62 billion ($11.2 bn). Of that amount, R$ 55 billion ($10 bn) are in BNDES and another R$ 7 billion ($1.3 bn) with Caixa. The largest of the projects being structured at BNDES, of R$ 33.5 billion ($6 bn) is in Rio de Janeiro.

Source: Valor Investe

Fitch downgrade Gol rating to ‘CCC-‘

The agency Fitch Ratings downgraded Gol’s long-term foreign and local currency rating from B- to CCC-, and also downgraded Gol’s long-term nationwide rating from BB(bra) to CCC(bra). The decision reflects the effects of the drop in demand for travel in Brazil, high uncertainty regarding the recovery of the sector and limited financial flexibility of the company.

Source: Valor Investe

Brazilian Minister defends zero interest to Amazon sustainable producer

Farmers who produce in accordance with Brazilian environmental law and in a sustainable way in the Amazon region should have incentives, including lower or “almost zero” bank interest rates, argued Agriculture Minister Tereza Cristina. In the Amazon, the rural producer can use 20% of the area, something that according to the minister should receive incentives if done in a sustainable way.

Source: R7