Brazil’s Development Bank announces a US$1.3 billion credit from China

By Ana Carolina Curvello

The National Bank for Social Development (BNDES) president, Aloizio Mercadante, announced that the China Development Bank would lend R$6.5 (US$1.3) billion to Brazil.

The announcement was made to journalists on Friday (14) at a press conference in China.

According to Mercadante, the resources of the credit operation with the Chinese bank will be transferred in two processes.

The first is a R$4 billion loan over ten years to finance infrastructure projects, clean energy, company digitalization, industrialization, innovation, and science and technology.

The remaining R$2.5 billion loan will have a shorter term of three years for investments in infrastructure, energy transition, and industrialization.

The president of BNDES did not give details about the conditions and interest rates of the operations.

The validity of the credit operation between the development banks of Brazil and China needs to be approved by the Commission of Economic Affairs (CAE) of the Senate.

In the press conference, Mercadante also highlighted the agreements signed by President Lula with Xi Jinping and the “successful partnerships” with China.

He also mentioned that new projects would soon be launched to ensure “more credit and investment” in works in the country.

With information from Gazeta do Povo

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