Resolution CMN No. 4335 — Defines criteria for financing Brazilian exports under Article 2-A of Law No. 10,184 of February 12, 2001, and revokes Resolution No. 3,512 of November 30, 2007

The Central Bank of Brazil, pursuant to Article 9 of Law No. 4,595 of December 31, 1964, makes public that the National Monetary Council, in a session held on May 23, 2014, based on Article 4, items V, VI, XVII, and XXXI, of the aforementioned Law, and on Article 3 of Law No. 10,184 of February 12, 2001,

R E S O L V E S:

Article 1. Financing operations linked to the export of national goods or services, provided for in Article 2-A of Law No. 10,184 of February 12, 2001, shall comply with the provisions of this Resolution.

Article 2. In the financing operations referred to in Article 1, the conditions applied internationally in this type of operation shall be agreed upon, and only sovereign guarantees shall be demanded from the borrowing countries.

Article 3. The maximum discount level granted for financing to countries with limited access to market financing shall be up to 35% (thirty-five percent).

Article 4. Financing operations granted under the auspices of this Resolution may not exceed, each year, 25% (twenty-five percent) of the budget allocation of the Export Financing Program (Proex), financing modality, including any additional credits.

Article 5. For the calculation of the discount referred to in Article 3, the formula contained in the Annex to this Resolution shall be applied.

Article 6. The granting of financing provided for in Article 1 of this Resolution shall observe, for the purpose of complying with Article 3, the following financial conditions:

I - maximum financing term: 25 (twenty-five) years;

II - maximum financing grace period: 10 (ten) semesters; and

III - financing interest rate: not less than 0.5% p.a. (five tenths of a percent per year).

Article 7. The provisions of Resolution No. 2,575 of December 17, 1998, shall apply subsidiarily to the operations referred to in this Resolution.

Article 8. This Resolution enters into force on the date of its publication.

Article 9. Resolution No. 3,512 of November 30, 2007, is hereby revoked.

Alexandre Antonio Tombini
President of the Central Bank of Brazil

ANNEX TO RESOLUTION NO. 4,335 OF MAY 26, 2014

D = (VF - VP) / VF * 100

Where:
D: discount to be granted;
VF: face value of exports;
VP: present value of payments expected in the amortization schedule based on a discount rate usually applied by multilateral organizations.