Central Bank to facilitate credit operations for small businesses

central bank
Brazil’s Central Bank

The Brazilian Central Bank announced it will facilitate loans and credit operations for small- and medium-sized enterprises (SMEs). The goal is to encourage the allocation of resources to a sector that is a key part of the Brazilian economy, representing a large share of the country’s productivity and employment.

The bank said around BRL 3.2 billion (USD 632 million) will become exempt from capital regulatory rules. Another BRL 228 billion will be allocated to credit operations. Credit rating will now fall from 100 to 85 percent for SMEs. The rules apply for companies that have gross annual revenues of between BRL 15 and 300 million.