| 
  • If you are citizen of an European Union member nation, you may not use this service unless you are at least 16 years old.

  • Get control of your email attachments. Connect all your Gmail accounts and in less than 2 minutes, Dokkio will automatically organize your file attachments. You can also connect Dokkio to Drive, Dropbox, and Slack. Sign up for free.

View
 

BNDES

Page history last edited by Brian D Butler 10 years, 4 months ago

 


 

 

What is "BNDES"?

 

Brazilian Development Bank:   see WikiPedia for definition:   http://en.wikipedia.org/wiki/BNDES

 

How Big?

 

Bigger than the World Bank, Interamerican Development Bank, and the US EXIM bank ... combined!!  "BNDES já é maior do que o Banco mundial, o Banco interamericano de desenvolvimento e o Eximbank americano somados"  Com tanto dinheiro, o BNDES deverá se consolidar como o maior banco de fomento do mundo. Com empréstimos de R$ 128 bilhões nos últimos 12 meses, o equivalente a US$ 73,1 bilhões (ao câmbio de R$ 1,75), ele já é bem maior do que o Banco Mundial (US$ 27 bilhões), o Banco Interamericano de Desenvolvimento (US$ 11 bilhões) e o Eximbank dos Estados Unidos (US$ 12 bilhões) somados.  Mais correto seria rotulá-lo como um banco comercial. Até porque a carteira de financiamentos a empresas do BNDES também supera a do Itaú-Unibanco, do Bradesco, do Santander e do Banco do Brasil

 

 

 

How is BNDES funded?

 

Funded from taxpayer money - one of the primary sources of funds is from the "Fundo de Amparo ao Trabalhador" with resources from the FGTS, which are collected obligatory, which pays the contributors only a return of 3%, but then BNDES turns around and makes loans of long term through TJLP (taxa juros longo prazo - long term interest rate, BNDES), which is fixed at 6% per year.

 

The second source of funds for BNDES comes from the Tesouro Nacional (Treasury), with funds collected from all of society.  The treasury borrows at a rate greater than the TJLP, the SELIC, used in securities issued by the government, is 8.75% per year.

 

source: article from magazine: "Isto e dinheiro", 11/11/2009

 

 

How to apply for $

 

see article:  http://www.terra.com.br/istoedinheiro/edicoes/631/artigo155647-4.htm

 

Opportunities for Entrepreneurs:

 

  1. Cartao BNDES - 
  2. I just saw recently that Brazil is setting up a "sovereign wealth fund" that aims to invest in BNDES and export operations of Brazilian companies overseas. I think there will be new opportunities for getting funding for exports, and doing trade shows.

 

 

Credit Crisis effect on BNDES:

 

10/2008:  As a result of the credit crisis blockade it credit caused for world-wide the financial crisis, the president it BNDES (Brazilian Development Bank), Luciano Coutinho, affirmed that the bank can need R$ 40 billion adds in 2009 to take care of to the order of Brazilian companies

 

 

Organizations to watch- 

  • O economista Gil Castello Branco, que comanda a ONG Contas Abertas

 

 

 

Some Criticisms:

 

  1. possiblity to pick favorites (winners / losers) and to distort market (says economist Andre Franco Montoro Filho, ex president BNDES)..."em vez de adotar uma política horizontal, financiando todos os players de um determinado segmento, o BNDES elege os seus "campeões nacionais"
  2. arbitrage opportunity:  companies could borrow at 6%, and applying money in CDI, which returns almost double
  3. money from workers funds can be used to fund mergers & acquisitions, often benefiting the rich ("todo o prêmio da operação, financiada com dinheiro do trabalhador, ficou concentrado nas ações ordinárias, dos controladores" source).
  4. "O BNDES está trabalhando como se sua fonte de recursos fosse inesgotável", disse à DINHEIRO o economista Luiz Carlos Mendonça de Barros, que também foi presidente do banco, durante o governo FHC. "Decidiram atirar para todos os lados e isso pode gerar distorções e prejuízos."
  5. Long term rates in Brazil may be higher than would be, if not for BNDES; "presidente do BC, Henrique Meirelles, chegou a dizer que o crédito corporativo nos bancos privados brasileiros só é mais caro do que deveria ser devido ao fato de o BNDES drenar toda a demanda por financiamentos corporativos de longo prazo"
  6. should be more focused on (a) infrastructure, and (b) technology - Luiz Carlos Delben Leite, ex president BNDES, and Fabio Giambiagi, BNDES, book: "Brasil pos-crise"

 

 

 

Links from GloboTrends

 

 

see also:  Entering the US market from overseas

 

 

Sources & External LinksÇ

 

 

 

 

 

 

 

 

 

 

addthis_pub = 'briandbutler';

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comments (0)

You don't have permission to comment on this page.