Brazil government unveils R$100 million solidarity economy fund and MEI tax relief package

On July 3, Brazil’s federal government launched a R$100 million call for projects to reinforce the solidarity economy through the National Program of Incubators of Popular Cooperatives (Proninc). About R$30 million is earmarked for the North, Northeast and Central‑West regions, with grants ranging from R$1.5 million to R$3 million per project for up to two years. The funds target family‑farm enterprises, waste‑picker cooperatives, artisanal fishers, quilombola and Indigenous groups and other cooperative initiatives, and will be administered in partnership with universities, federal institutes and civil‑society organisations.

In the same announcement the government introduced the Desenrola MEI programme, offering micro‑entrepreneurs with tax debts up to R$20 000 discounts of up to 70 % on interest, fines and charges and installment plans of up to 145 months. Registration opens on July 6 via the Regularize portal. The package also proposes raising the MEI annual turnover ceiling to R$110 000 in 2027 and R$140 000 in 2028 and allowing the hiring of up to two employees. Additionally, the Contrata+Brasil platform will be expanded from 107 to 141 activity codes, potentially linking up to six million micro‑entrepreneurs to public procurement opportunities.