Brasília - President Luiz Inácio Lula da Silva says that the Brazilian government finally perceived what everybody else has known for a long time: poor people are good credit risks who pay their bills. "The truth is that the government did not trust the people because when the government gets taken, it gets taken for millions or even billions. I guess that is why the government has been afraid to loan poor people R$200," said the president.

According to Lula, the government's new micro-financing program will allow low-income people access to credit and create a mass consumption market that will strengthen industry and agriculture, and promote sustainable development. Lula also said he sees the program as fundamental to getting participants to practice citizenship. "Some people say life is a combination of dreams and credit. I think it has always been a mix of work and hope. With this micro-financing program we are feeding a flame of hope for a better future," said Lula.

As for the small amounts involved, Lula said that R$200 was very important if it allowed low-income people to escape from loan sharks. The president added that the country could not have people who were half citizens, and remain divided between haves and have-nots. (AB)