Brazil govt launches export credit insurance for SMEs

(fibre2fashion, Gujarat, 11 February 2014) The Brazilian Ministry of Finance has launched export credit insurance for micro, small and medium enterprises (MSMEs), including textile and apparel enterprises in the country, in order to encourage entrepreneurs to increase exports. According to a statement issued by Brazilian Government, the companies eligible to avail the export credit insurance are those with annual revenues of up to US$ 90 million and exports products worth US$ 1 million. The insurance will be granted on the export of goods and services with the marketing term financing of up to two years operations. The Brazilian Government's goal is to reach $1 billion in guarantees per year by 2018 through this tool. According to the Ministry, the lack of guarantees is a limitation for these MSMEs, including textile and apparel, to access public and private funding, and with this insurance the Government aims to facilitate exports of various products, including textiles and apparel, from the MSMEs.