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Brazil Offers US$ 11 Million to Help Small Companies that Innovate

In Brazil, the government of the state of São Paulo, the richest in the nation, should make available 20 million Brazilian reais (US$ 10.7 million) for the financing of micro and small companies that invest in innovation projects and technological research of products.

Half of the funds, 10 million reais (US$ 5.4 million), should be made available this semester and the remains should be disbursed next year, according to information disclosed by the state government. The period for amortization is 36 months and interest rates are 6% a year.

The measure is part of a government set of initiatives to stimulate economic activity in guaranteeing public investment and incentive to private investment, support to micro and small companies, generation of jobs and expansion of credit. The volume of funds made available this half should reach around 50 companies, according to Development secretary Geraldo Alckmin.

In the first half – and in the first call – the proposals to be selected should be those of industries and agricultural organisations. The goods purchased, through financing, should serve as guarantees for the loan. Enrolment is open until August 3 and the maximum value per company is 200,000 reais (US$ 107,000). The grace period is 24 months, after which the funds should be paid back in 36 months.

The objective is to grant support to innovative enterprises in the state, mainly those installed in technological parks. The lines of credit are by the State Fund for Scientific and Technological Development (Funcet).

São Paulo is the state that exports most in Brazil and has several clusters with micro and small companies in the interior.

Anba

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