By Fernando de Castro
The National Bank of Economic and Social Development (BNDES) approved R$20 billion (US$4 billion) in resources for investments in innovation in the country.
The institution’s president, Aloizio Mercadante, announced the subsidy on Thursday, 25, during an event for industry business people at the Federation of Industries of the State of São Paulo (Fiesp).
According to Mercadante, the R$20 billion is to be lent by BNDES over the next four years at an interest rate of 1.7% per year, with a two-year grace period and a 10-year payment term.
“Subsidy when it is transparent, directed to strategic sectors, is indispensable,” he said.
“In the post-pandemic period and to face the competitiveness of Asian countries, it is indispensable.”
“There will be cheap money for those who want to innovate.”
AGRIBUSINESS DEFENSE
In contrast with the recent critical positions of President Lula regarding agribusiness, Mercadante still affirmed that BNDES has an eye for the sector.
Most of the agro acts competitively, according to him.
“The BNDES has made some moves to support Brazilian agribusiness, it is a modern and extremely competitive sector, but it is financed by important subsidies and with a combative bench,” he argued.
“It has a part of predatory agriculture to fight, but the vast majority is competitive, and we are financing it.”
With information from Revista Oeste
News Brazil, English news Brazil, Brazilian economy, BNDES
Read More from The Rio Times