RIO DE JANEIRO, Dec. 9 (Xinhua) -- Brazil's Finance Minister Guido Mantega announced on Wednesday a new package of fiscal incentives to boost the country's economic activity, including an 80 billion reais (45.2 billion U.S. dollars) credit line for the Brazilian Development Bank (BNDES).

    The money, which is to be released next year, will help BNDES increase its financing operations, especially in the areas of infrastructure and exports. In 2009, the Brazilian government had already released 100 billion reais (56.5 billion dollars) to the BNDES.

    The government also decided to renew the lower interest rates in the BNDES financing operations for the purchase of machinery and equipment for industries until June 2010.

    Additionally, Mantega announced the renewal of tax cuts for computers, a measure which will last until 2014 and cost the government 1.6 billion reais (903 million dollars) alone in 2010. He also announced extra tax cuts for computers and computer parts sold to public schools.

    The slashing of the Industrial Products Tax (IPI) over capital goods, which was to end in December, was also renewed until June. Moreover, the government has decided to suspend the IPI and the import tax charged over goods and services related to the oil industry in the northern, northeastern and midwestern regions.

    Since the beginning of the year, the Brazilian government has decided in favor of several tax cuts in order to boost production and consumption and help the country recuperate from the effects of the international financial crisis. The benefiting sectors are the automotive industry, household appliances, furniture and construction supplies.

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