Government Policies Propel Growth of Micro and Small Businesses in Brazil in 2025
In 2025, government policies and credit programs effectively fueled the growth and employment capacity of Brazil's micro and small enterprises, significantly lowering unemployment rates and supporting entrepreneurship, especially among women.
- • Tax exemption on income up to R$ 5,000 benefits 80% of small businesses and boosts economy.
- • 1.8 million jobs created in 2025, with 1.23 million from micro and small enterprises.
- • Unemployment rate dropped to 5.4%, the lowest in 12 years.
- • 'Acredita Sebrae' program facilitated nearly R$ 10 billion credit access aiding small businesses' growth.
Key details
In 2025, Brazil witnessed a significant boost in the micro and small enterprise sector, fueled by targeted government policies and programs. According to Sebrae President Décio Lima, a tax exemption on incomes up to R$ 5,000, benefiting 80% of small businesses, was a key factor contributing to business growth and is expected to inject R$ 28 billion into the economy in 2026. This supportive environment helped create 1.8 million jobs throughout the year, with 1.23 million jobs attributed to micro and small enterprises, which contributed substantially to the unemployment rate dropping to 5.4% — its lowest point in 12 years.
Crucial to this success was the 'Acredita Sebrae' credit program, which facilitated nearly R$ 10 billion in credit access from January to October 2025, enabling small businesses to expand operations and invest in innovation. Sebrae also recorded 58 million service attendances by October, focusing on virtual courses and technologies such as electronic invoicing to assist entrepreneurs. Special attention was given to supporting female entrepreneurship; 34% of self-employed individuals are women, many of whom are heads of their families, and receive credit guarantees through Sebrae’s initiatives.
Looking ahead, Sebrae plans to amplify this momentum by aiming to facilitate R$ 30 billion in credit over the next three years, continuing to support Brazil’s growing small business ecosystem. Lima expressed optimism for 2026, highlighting both the resilience of Brazilian entrepreneurs and ongoing improvements in the economic landscape that underpin this growth trajectory.
This article was synthesized and translated from native language sources to provide English-speaking readers with local perspectives.
