Brazil’s development bank financed more agricultural than industrial companies in 2021

In 2021, the state-owned Brazilian Bank for Development BNDS allocated 26% of its funds to rural producers and only 16% to industrial companies. Some say this is a mistake, as Brazil urgently needs more investment in the industrial sector.

RIO DE JANEIRO, BRAZIL - BNDES (Brazilian Development Bank) was created by the federal government with the mission of promoting Brazil's industrial park, but today it finances more agriculture and livestock than industry.

Last year, the government-owned development bank gave 26% of its funds to rural producers and 16% to industrials - that's R$18 (US$3.4) billion or R$11.2 billion in today's values (adjusted for inflation).

Until some time ago, BNDES spent relatively little on rural activities. In 2009, agribusiness received only 5% of the funds, while industry received 47% - R$14.6 billion . . .

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