Brasília, 7/6/2004 (Agência Brasil) - Presidential Chief of Staff (ministro da Casa Civil), José Dirceu, reports that over the last 17 months government banks (Banco do Brasil, Caixa Econômica Federal, Banco do Nordeste e Banco da Amazônia) have opened 3.2 million microfinancing accounts. Dirceu explained that microfinancing was a fundamental part of the government's effort to create more jobs.

Dirceu pointed out that during the Luiz Inacio Lula da Silva administration, one million microfinancing operations had taken place, resulting in the release of US$202.4 million (R$612.3 million) to small businesses.

Besides microfinancing, the government was also strengthening family farming. For the 2003/2004 harvest, US$1.4 billion (R$4.5 billion) had been released by June. And for the 2004/2005 harvest, the government has earmarked US$2.3 billion (R$7 billion) for family farming.

Dirceu reported that the government has also set up special programs for small farmers in the North and Northeast regions of the country, with low-interest loans (1% per year).

Repórter:Luciana Vasconcelos
(Translator:Allen Bennett)