São Paulo – The Social arm of the Brazilian Development Bank (BNDES) has permanent contact with Arab institutions seeking opportunities for business and cooperation. The information was disclosed by the head of the Internationalisation Department at the Bank, Leonardo Botelho, who granted an e-mail interview to ANBA.
"[The International Area of the BNDES] has been maintaining permanent talks with several institutions in the Arab countries,” said the executive. Last year, the bank signed agreements for cooperation with the sovereign funds of Qatar and Abu Dhabi, in the United Arab Emirates. According to Botelho, the institutions promote "exchange of experience and information".
He pointed out that his department identified the interest of "several investors" in projects in the areas of infrastructure, industry and basic inputs. There is also space for bank financing of Brazilian exports to the Arab world and collecting funds in the region. Read the interview below:
ANBA – Have the agreements signed between the bank and the sovereign funds of Qatar and Abu Dhabi already generated any result? How is cooperation in this area?
Leonardo Botelho – The institution has been promoting reciprocal work visits and maintaining permanent dialogue in the exchange of experience and information, the main objective of the agreements signed.
Does the bank aim to bring investors from these nations to Brazil? In what areas? Is there interest in similar agreements with institutions in other Arab countries?
The International Area has identified interest of several investors in projects turned to infrastructure, industry and basic inputs and has been maintaining permanent talks with several institutions in the Arab countries.
In the area of export financing, is there expressive participation of business with the Arab world? And in the financing of Brazilian enterprises abroad?
The Arab countries have always been important trade partners for Brazil. The Brazilian presence is being incremented by the installation of local offices – several of these companies count on the financial support of the BNDES in Brazil. There are not yet isolated BNDES export financing operations for projects in the region, but opportunities are being discussed.
Does the bank work with the collection of foreign lines of credit? Is there availability for financing from Arab countries for enterprises in Brazil?
BNDES continuously monitors opportunities for obtaining lines of credit from foreign banks or from bond issues on the international market, having promoted, since 2008, five foreign operations totalling approximately US$ 4.2 billion in funds. Up to the moment, the BNDES has not promoted collection operations alongside Arab institutions, but does not discard the possibility, and it depends on market conditions.
Has the bank been developing international promotion, with participation in fairs abroad, presence in trade delegations, etc?
The BNDES has been seeking expansion of its international partnerships, promoting institutional delegations with financial and governmental institutions. Apart from that, the bank has cooperated with the Ministry of Development and the Brazilian Export and Investment Promotion Agency (Apex), sending representatives on trade missions. In 2010, it participated in a delegation to the Arab nations.
*Translated by Mark Ament
