AFFECTED FLOWOutflow (subsidised)
ANNOUNCED AS TEMPORARYNo
Companies with gross annual income up to R$ 60 million will be able to obtain credit from the Export Financing Program - PROEX for the production of goods destined for export.
PROEX is a public program for the financing of exports of goods and services. It is operated by Banco do Brasil and its funding comes from the National Treasury.
The new measure was published in Resolution CAMEX nş 45, on the 26th of August, 2009, and it enlarges the previous scope of the PROEX since it finances the pre-shipment phase, while previously PROEX covered only the post-shipment phase.
PROEX has earmarked 10% of its budget, US$ 130 million, for this program (Valor Econômico, 27th August, 2009). The program will finance up to 100% of the invoice value of the product to be exported. Under Article 2 (e) of Resolution nş 35, the interest rate to be applied is the rate prevailing in the international market.
On 21 October 2010, the government also specified a range of service sector eligible for the subsidy scheme (see related measure).
On 30 December 2013, the Brazilien Foreign Trade Council (CAMEX) released resolution no. 126 replacing CAMEX no. 45/2009 (see related measure).