Move Brasil credit plan for taxi drivers and app encounters obstacles in banks and frustrates government

The Move Brasil Taxi and Applications program, which allocated R$30 billion via BNDES to finance 0 km cars worth up to R$150,000, registered a challenging and disappointing start. Both the government, dealerships and drivers faced difficulties in the first days of operation, with banks demonstrating rigidity and denying many financing requests.

Approvals were few, preventing the vehicle acquisition process from gaining the expected pace. Anfavea and Fenabrave expected the program to boost the sale of around 200,000 cars. The situation generated strong criticism from the Minister of the General Secretariat of the Presidency, Guilherme Boulos.

Government criticism of the banks’ stance

Minister Guilherme Boulos pointed out that financial institutions are refusing registrations based on the “bank’s risk rate”. He classified the stance as “inadmissible”, explaining that the fundamental difference between Move Brasil and a common credit line is the inclusion of a guarantee fund, a contribution made by the government. The banks’ resistance can be attributed to their aversion to risks and the perceived bureaucracy in new programs, even with state guarantees, preferring to maintain portfolios with a proven track record.

Boulos also highlighted that financial agents, responsible for releasing credit, are imposing conditions that deviate from the rules established for the line. He cited examples of banks that require down payment and registration fees, amounts that, according to the program’s rules, should be exempt.

Investment guarantee fund comes into operation

Arcélio Júnior, president of Fenabrave, informed that the government promised the implementation of the Investment Guarantee Fund (FGI) last Wednesday, June 1st, and that approvals would be accelerated. The good news, according to Arcélio, is that the FGI was already operational on Thursday, June 2, and the entity is now monitoring the impact of this change.

Despite government efforts to facilitate access to credit, the final release and approval of financing remains the exclusive responsibility of financial agents.

Despite the initial difficulties, interest in the program is notable. The president of Fenabrave stated that demand at dealerships has been significant, with “records of large queues in the first weeks” of Move Brasil’s operation.