A scenario of economic retraction, closing of trade and over-indebtedness are not the only difficulties experienced by Brazilian micro and small businessmen since last year. The release of credit has become smaller, stricter and more difficult for those who have little guarantee to offer, mainly via the National Program for Support to Micro and Small Businesses (Pronampe), one of the main government tools for smaller businesses. In the comparison between 2019 (pre-pandemic period) and the first half of 2021, the share of credit for MSEs dropped from 4.12% to 2.96% of the country’s total. It went from R$ 60 billion to R$ 53 .5 billion. At the other end, the money available to large companies grew by more than R$144 billion, a share of 60% of the total.
According to economist Isabela Tavares, a credit specialist at Tendências consultancy, the greater risk meant that SMEs had less availability of credit lines. “As large companies have greater guarantees, they had more access,” he said. “The small ones, without guarantees, suffer with less access to the financial system.” This, according to her, mainly harms the generation of jobs, since 72% of formal jobs created in the country in the last 12 months were in micro and small businesses. There were 2 million registered jobs generated from June 2020 to June 2021, against 900 thousand in other sizes of companies, according to the General Register of Employed and Unemployed Persons (Caged).
2.9% was the participation of MSEs in obtaining credit in the country in the first half of 2021
For the president of the National Confederation of Micro and Small Businesses and Individual Entrepreneurs, Ercílio Santinoni, government actions to encourage credit have been insufficient to speed up minors. “The demand has more than tripled,” he said. In a statement, the Central Bank reported that in 2020 the balance of credit operations for smaller companies grew “approximately twice the balance of large companies, and their share of total credit increased”. For the BC, “microenterprises, despite being more numerous, together represent a smaller percentage of the economy and the assertion that there was a worsening in credit asymmetry cannot be deduced simply by taking their relative shares in the credit market.” Anyway, taking the data from Caged, it is this “lower percentage of the economy” that has given the little combustion in the job engine at this time.