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Brazil's Government Announces Debt Forgiveness for Small Business Owners

The flag of Brazil waving on a pole against a clear blue sky
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Brazil's government has announced a new support plan for small business owners, called "Desenrola".

The plan targets people known in Brazil as MEIs, which means individual microentrepreneurs.

Under the plan, the government will forgive R$12 billion in debts owed by these small business owners.

Forgiving a debt means the person no longer has to pay it back.

The government will also offer a direct transfer of up to R$5,000 to some people.

A direct transfer is money given straight to a person's bank account.

This announcement came just 12 days before the second round of Brazil's presidential election.

The second round is the final vote between the two top candidates.

President Lula's government is responsible for the new plan.

Many small business owners in Brazil have struggled with debt in recent years.

The government says the new plan will help ease their financial pressure.

Critics may question the timing of the announcement, so close to the vote.

Supporters, however, could see it as useful help for struggling entrepreneurs.

The plan has not yet been fully detailed in public reports.

It is not clear exactly how many people will receive the money.

The government has not said when the payments will begin.

More information is expected as the election date gets closer.

Vocabulary10 words

MEI
a very small, independent business owner in Brazil
Desenrola
the official name given to this support plan
forgive (a debt)
to officially cancel money someone owes
direct transfer
money paid straight into a person's account
second round
the final vote between the top two candidates
Lula
the current president of Brazil
entrepreneur
a person who starts and runs their own business
billion
a very large number, equal to 1,000 million
financial pressure
difficulty caused by not having enough money
candidate
a person trying to win an election

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Quiz

1. What does the "Desenrola" plan aim to do?
2. How much is the maximum direct transfer mentioned?
3. True or false: The plan was announced right after the second-round vote.

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Fill-in-the-blank listening

Play the audio again and fill in the missing words as you listen.

Brazil's government has announced a new support plan for small business owners, called "_____".

The plan targets people known in Brazil as _____, which means individual microentrepreneurs.

Under the plan, the government will _____ R$12 billion in debts owed by these small business owners.

The government will also offer a direct _____ of up to R$5,000 to some people.

This announcement came just _____ days before the second round of Brazil's presidential election.

The second round is the final vote between the two top _____.

President _____'s government is responsible for the new plan.

Many small business owners in Brazil have struggled with _____ in recent years.

The government says the new plan will help ease their financial _____.

Critics may question the _____ of the announcement, so close to the vote.

It is not clear exactly how many people will receive the _____.

The government has not said when the _____ will begin.

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