The Emergency Credit Access Program (PEAC), operated by the Brazilian Development Bank (BNDES), reached the mark of R$ 20 billion in credits granted to 26,100 small- and medium-sized companies (SME). These companies employ more than 1.27 million people. Created in partnership with the Special Secretariat for Productivity, Employment and Competitiveness (SEPEC), of the Ministry of Economy, the program received, this Thursday, August 27, a new contribution of R$ 5 billion from the National Treasury. These funds, used as guarantees for financing, will leverage the value of credits up to 5 times. In this way, new loans may again exceed R$ 20 billion.
The program started to be operational on June 30 and will remain in force until the end of this year. Of the initial investment of R$ 5 billion, the amount of R$ 4.3 billion, which corresponds to 86% of the initial budget of the program, has already been used. Thus, considering the leverage, it was possible to grant more than R$ 20 billion in financing through financial agents. Depending on the evolution of demand, the Treasury may invest, in total, up to R$ 20 billion in the program, which can mean up to R$ 100 billion in financing for small- and medium-sized borrowers.
“The program has been fulfilling its role with great success and our expectation is that, with the new contribution of funds, access to credit will reach those who need it most at this time,” says BNDES Managing Director of the Credit and Guarantee Division, Petrônio Cançado.
PEAC aims to unlock credit for small- and medium-sized companies, associations, private foundations and cooperatives that earned between R$ 360,000 and R$ 300 million in 2019. Guarantees are granted to financial agents, mitigating the economic impacts of the Covid-19 pandemic. Coverage is 80% of the value of each operation, limited to up to 30% of the total portfolio of each financial institution for credit operations granted to small companies, and up to 20% for operations with medium-sized companies.
Not only credit operations contracted with BNDES funds, through its financing lines, can rely on the emergency guarantee of PEAC, but also those offered by the financing institutions themselves. Such funds can be used by companies for different purposes, according to each line, including to reinforce their working capital.
Currently, 38 financial agents are already qualified to offer loans, which can range from R$ 5,000 to R$ 10 million. These institutions are responsible for the final decision to use the program guarantee and evaluate the credit application, at the moment when they structure each of their operations. The average value of loans used to date was R$ 714,000.
About BNDES – Founded in 1952 and currently linked to the Ministry of Economy, BNDES is the main instrument of the Federal Government to promote long-term investments in the Brazilian economy. Its actions are focused on the socioenvironmental and economic impact in Brazil. The Bank offers special conditions for micro-, small- and medium-sized companies, in addition to social investment lines, aimed at education and health, family farming, basic sanitation and urban transport. In crisis situations, the Bank acts in an anticyclical manner and assists in the formulation of solutions for the resumption of economic growth.