Brazil’s Economy Minister Signs Agreement to Finance US$ 1 Billion in Exports to Brazil

RIO DE JANEIRO, BRAZIL – In the last event of a Donald Trump government delegation’s visit to Brasília, Minister of Economy Paulo Guedes and the president of Exim Bank (U.S. Export and Import Bank) signed an agreement to explore potential financing for exports from the United States to Brazil that could total US$1 billion (R$5 billion).

The document signed in a ceremony at the Itamaraty also establishes commitments between Brazil and the U.S. to progress in the cooperation in trade of goods and services, particularly in the sectors of telecommunications and 5G, energy, infrastructure, logistics, mining, and manufacturing.

President Jair Bolsonaro, U.S. National Security Advisor Robert O’Brien, Guedes, and Exim Bank CEO Kimberly Reed were present at the ceremony.

The ceremony marked the end of the delegation’s activities led by O’Brien, a string of events that also included the signing of a trade facilitation agreement and meetings with Brazilian authorities to pressure the country into placing restrictions on the operation of Chinese company Huawei in the 5G networks.

“We believe that the economic cooperation agreement between the United States and Brazil will yield promising results. President Donald Trump is committed to economic prosperity, national security, and the right to freedom,” declared Reed.

Exim Bank also announced that it is prepared to consider a request from Gol Airlines to finance the purchase of Boeing aircraft in a “several hundred million dollar” deal. The planes are scheduled to be delivered in 2021.

In a speech at the ceremony, Guedes said that Brazil is opening economically, noting the Mercosur agreement with the European Union and progress in negotiations with other countries such as Japan and Canada.

The Minister explained that in the government’s first year, the focus was on controlling public spending, but now the economic team wants to open up investment prospects, particularly in the area of logistics infrastructure, oil, and natural gas.

According to him, Congress is passing the modernization of regulatory frameworks. “We are working towards opening up the Brazilian economy. Now, a geopolitical closeness too. We trade with the whole world. […] So we know who our geopolitical partners are while trading with the whole world,” he said.

Source: Folhapress