2. Access to Credit
2.1 Banks
2.2 Other Sources
2.3 Credit Bureau
In-Country Assessment Information


2. Access to Credit -Very Strong

Goal – An efficient, transparent financial sector that provides a broad range of citizens with access to multiple forms of competitive credit so that they can start businesses, build wealth, and purchase property


2.1 Banks

Core Question: Are traditional banking services robust and extensive enough to serve the needs of the population to help them build wealth and purchase property?  Yes – Very Strong, prudent fiscal and monetary policies helped Brazil avoid the worst of the global financial crisis.



2.1.1   How easy is it to obtain a bank loan? Strong – Ranking 51st out of  144; Score  3.1 out of 7 Trend ↑

Source: The Global Competitiveness Report  2012-2013, World Economic Forum



2.1.2   How sound are the country’s banks? Very Strong – Ranking 14th out of 139; Score 6.2 out of 7

Source: The Global Competitiveness Report  2012-2013, World Economic Forum
2.1.3  Microlending

Status – Very Strong Microfinance allows citizens without traditional creditworthiness to build a credit history. How many microfinance institutions are operating in the country? 34

Banco Popular do Brazil,116,116,1,1,1,
Cresol Central           
Santander Microcedito What is the number of active borrowers per institution?

 Banco Popular do Brazil                     138,241
CEAPE                                                               2,462

CrediAmigo                                                   1,046,062
Cresol Central                                             93,416
Santander Microcedito                        99,951                                             

Source: Microfinance Information Exchange




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2.2 Other Sources


Core Question: Are entrepreneurs free to raise capital outside the banking system including venture capital and/or by issuing stock in a well-regulated stock exchange? Yes –Strong, despite some progress, organizing new investment and production remains cumbersome and bureaucratic.



Financial Freedom

2.2.1   How much control does the government exert over financial services? Strong for entrepreneurs – Score 54.8 out of 100 –  limited government control

Source: Index of Economic Freedom, Heritage Foundation


Venture Capital

2.2.2   How easy is it for entrepreneurs to find venture capital?
Strong –  51st out of  144; Score  2.8 out of 7 Trend ↑


Equity Investors

2.2.3   How easy is it to raise money by issuing shares on the stock market? Strong – 40th out of  144; Score  4.1 out of 7 Trend ↑

Source: The Global Competitiveness Report 2012-2013, World Economic Forum




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2.3 Credit Bureau


Core Question: Is comprehensive credit information available through public and private credit bureaus? Yes – Very Strong, Dun & Bradstreet, Equifax and Experian have Brazilian Branches.

Overall Ranking 104th out of  185



2.3.1   What is the depth of information available in credit bureaus? Very Strong – Score – 5 out of 6 with a higher number indicating more information is available



2.3.2   What is the extent of public credit registry coverage?  46.8% Very Strong



2.3.3   What is the extent of private credit registry coverage?  62.2% Very Strong

Source: Doing Business 2013 – Getting Credit, World Bank


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In-Country Assessment Information


FQ 13 How available are mortgage loans for purchasing commercial property (office, retail, industrial and logistics), who is the typical user and what are the prevailing trends?


FQ 14 What are the interest rates, term and loan-to-value ratios?


FQ15 In addition to microloans, to what extent are microenterprises (5 or fewer employees) active in the country? Approximately what percentage are formally registered firms?


FQ16 What services other than loans such as insurance, funds transfers, and business development training are available from microfinance organizations for formal businesses?


FQ17 What professional financial services are available outside state owned banks including insurance, credit cards and investment management?


FQ18  What has been the appreciation (or depreciation) rate for commercial property over the last several years?


FQ19  How available is seed money or angel investors for the start up of small businesses?

FQ20 Do small businesses have access to credit information about potential customers?


FQ21  Can businesses gain access to information about them contained in credit bureaus and correct inaccuracies?