Financial conditions for small business operation in Brazil as a BRICS country

The paper studies the system of financial support for small businesses in Brazil. It provides a comparative characterization of the share of companies in this sector in the BRICS economies. The author’s approach to analyzing incentive programs for small and medium-sized enterprises (SMEs) in Brazil, focusing on the terms and types of financing available, is proposed. It is revealed that the mechanisms for stimulating the activities of micro and small businesses in Brazil are a whole range of measures aimed at supporting business, including various financial support instruments. It is posited that the rate of economic growth in Brazil, coupled with the contribution of SMEs, serves as an indicator of the efficacy of these support mechanisms. The important role of government programs within the framework of SEBRAE for the provision of various services and stimulation of entrepreneurship development is emphasized. Furthermore, it is identified that the Brazilian Development Bank (BNDES) constitutes a key source of financial resources for micro and small businesses. It is revealed that, despite all the actions to stimulate business development, compared with the leading countries of the world, the share of SMEs in Brazil’s GDP is still extremely small. The reasons for this can be both insufficient financial support measures from the state and the peculiarity of the country’s economy.