I do know that the Federal Senate has approved, and I, José Sarney, President, in the terms of art. 48, inciso XXVIII, of the Rules of Procedure, promulgated the following

R E S O L U UNK UNK UNK No. 39, DE 2010

Authorizes the Federative Republic of Brazil to hire external credit operation, in the total value of up to US$ 28,600,000.00 (twenty-eight million and six hundred U.S. dollars), with the Inter-American Development Bank (BID).

The Federal Senate resolves:

Art. 1º It is the Federative Republic of Brazil authorized to hire external credit operation, in the total value of up to US$ 28,600,000.00 (twenty eight million and six hundred thousand U.S. dollars), with the Inter-American Development Bank (BID).

Single Paragraph. Are the resources of this credit operation intended for partial funding of the?Program of Modernization of Public Administration Instruments and Management Systems (Prosis)?.

Art. 2º Basic financial conditions of the credit operation referred to in art. 1º are as follows:

I-dever: Federative Republic of Brazil ;

II-credor: Inter-American Development Bank (BID) ;

III-total value: up to US$ 28,600,000.00 (twenty eight million and seishundred thousand dollars Americans) ;

IV-term of disbursement: 4 (four) years, counted from the effective date of the contract ;

V-amortization: in semi-annual, consecutive plots and, as far as possible, equal, paid in 15 of September and March 15 of each year, winning the first on the next payment date, after 4 (four) years of the contract signing date, and the latter, up to 20 (twenty) years after that date ;

VI-interest: required semester on the same dates of payment of amortization and calculated on the periodic debtor balance of the loan at an annual fee for each quarter composed by the quarterly Libor for U.S. dollar, more, or less, a cost margin related to the BID loans that finance the loan of the mechanism unimonetary with Libor-based interest rate, plus net worth of any cost or profit generated by operations to mitigate Libor fluctuations, plus the margin for loans from ordinary capital ;

VII-credit commission: up to 0.75% a.a. (seventy five hundredths per cent a year), calculated on the undisbursed debtor balance of the loan and required semester on the same interest payment dates, entering into force 60 (sixty) days after signing the contract ;

VIII-expenses with general inspection and supervision: per current policy decision, the BID will not charge amount to meet expenses with general inspection and supervision, with, as per periodic review of their policies, it will notify the borrower a value due in a given semester, which may not exceed 1% (one per cent) of the funding, divided by the number of semesters understood within the original period of disbursements.

§ 1º The dates of payment of the principal and financial charges as well as of disbursements, provided in the contractual minuta, may be changed depending on the date of signing of the contract.

§ 2º The borrower may, respected the terms and conditions set out in the loan contract, ask the BID for conversion to a fixed interest rate, part or all of the debtor balances subject to the Libor-based interest rate, and a new conversion of part or all of the debtor balances from the loan calculated to a fixed interest rate for the Libor-based interest rate, with each conversion being realised at a minimum value equivalent to 25% (twenty-five per cent) of the loan amount or US$ 3,000,000.00 (three million dollars) Americans), whatever is higher.

Art. 3º The authorisation granted by this Resolution is to be exercised within 540 (five hundred and forty) days, counted from the date of its publication.

Art. 4º This Resolution comes into force on the date of its publication.

Federal Senate, on August 6, 2010.

Senator Jose Sarney

President of the Federal Senate