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Rousseff Orders $35 Billion Stimulus to Aid Brazil Industry

Brazil’s President Dilma Rousseff ordered tax cuts and other stimulus measures worth about 65 billion reais ($35 billion) to protect the country’s struggling industry from what she said were “predatory” trade practices by rich nations.

As part of a package of incentives announced today to boost growth, the government will eliminate 12.1 billion reais in payroll taxes through 2013 for employers in industries hardest-hit by a surge in imports. State development bank BNDES will also expand subsidized lending, backed by a 45 billion reais injection from the Treasury. Finance Minister Guido Mantega also pledged to take more measures to weaken the currency, which has rallied 47 percent since 2005, more than all major currencies.