Rio de Janeiro – The concessions or sales to the private initiative that have been announced last Tuesday (13) by the Brazilian federal government in transportation, energy, and sanitation, under Projeto Crescer, will rely on up to 80% worth of financing from the Brazilian Development Bank (BNDES) and the Brazilian Federal Savings Bank (Caixa).
BNDES chairwoman Maria Silvia Bastos said that in the past, the state-run banks would finance up to 100% of projects, but now private investors will be required to provide at least 20% of the amount being financed. She explains that that should happen through debentures (long-term debt instruments) maturing within 15 to 30 years.
*Translated by Gabriel Pomerancblum
