President Luiz Inácio Lula da Silva allocated a BRL 15 billion credit line to aid businesses affected by the recent floods in Rio Grande do Sul. This initiative is part of ongoing efforts to rebuild the state after the natural disaster.
Lula emphasized a shift in the approach to climate issues during a ceremony, stating that any region facing similar challenges will receive necessary assistance. The funds were sourced from the Social Fund, a reserve created in 2010 from revenue generated by oil exploration in Brazil’s deepwater reserves.
A provisional decree, effective immediately, introduced three separate credit programs for affected businesses. These programs cover the purchase of machinery, equipment, construction work, and emergency working capital.