Brazil to bring federal tax exemption for fuels

Brazil President Luiz Inacio Lula da Silva has decided that a federal tax exemption for fuels will last one year for diesel and biodiesel, and two months for gasoline and ethanol, a decree published in the official gazette showed.

The exemption from federal taxes on fuel represents a revenue waiver of 52.9 billion reais ($9.87 billion) per year. The real was down nearly 1.5% against the dollar after the move was announced.