Banco Nacional de Desenvolvimento Econômico e Social disbursed 50 billion Brazilian reais between January and September 2017, down 20% from the same period of the previous year, the state-run bank said in a statement on its website.

Despite the decrease, BNDES said the "reduction in the pace of decline in credit applications shows signs of a resumption of investment."

The bank said 41.5% of the disbursements went to micro, small and medium-sized enterprises in the period, with the BNDES Giro financing line disbursing 5 billion reais in the period, up 289% year over year.

The credit line, which was created to cover companies' working capital requirements, disbursed in the 12 month period a total of 6.4 billion reais, 226% more than in between September 2015 and August 2016, the bank said.

BNDES said agriculture and infrastructure are the sectors that have seen the largest increase in disbursements this year.

As of Oct. 16, US$1 was equivalent to 3.16 Brazilian reais.