Brazilian government to input capital to boost loan release
The Brazilian government announced Thursday that it would input a total of 100 billion reais (43 billion U.S. dollars) to the Brazilian Development Bank (BNDES) in 2009 and 2010 as a measure to offset the impact of the global financial crisis, Xinhua reported.
The money will be destined to boost the loan release to the Brazilian companies to help them survive the crisis, according to Minister of Finance Guido Mantega.
Part of the money will also be used to finance the investment plan of Petrobras, Brazil's state-owned oil and gas giant, for the next few years, he said.
"There will be no lack of investment in Brazil," said the minister.
The resources for the input will come from public securities and financial surplus, said Mantega, noting the money would be kept in the government and could be withdrawn by the BNDES whenever necessary.
Brazilian President Luiz Inacio Lula da Silva is expected to announce next week more measures to fight against the crisis.