Brazil was frustrated with the decision-making of the BRICS New Development Bank (NDB) on funding of member countries' projects as China and India received most funds, while Brazil lacked financing, Brazilian Minister of Infrastructure Tarcisio Gomes de Freitas said
BRASILIA (Pakistan Point News / Sputnik - 14th November, 2019) Brazil was frustrated with the decision-making of the BRICS New Development Bank (NDB) on funding of member countries' projects as China and India received most funds, while Brazil lacked financing, Brazilian Minister of Infrastructure Tarcisio Gomes de Freitas said.
Freitas was speaking at the session on investment opportunities of the BRICS countries, held within framework of BRICS Business Forum on Wednesday. At the session, the moderator noted that NDB, established to fund the projects of the BRICS states, had earmarked almost $13 billion for various ventures, with most of them going to India and China, while the amount of funds approved for projects in Russia, Brazil and South Africa was significantly lower.
"We asked the [NDB] bank the same question in the beginning of the year. We were somewhat bothered by the fact that we were seeing so many financing and we needed the bank especially in the projects that involved engineering risks. We did not need the bank in the energy projects for example where the engineering risks are well-known and are absorbed by the market. We needed the BRICS bank where the market could not hold the risks. But we had many advances in our talks with the NDB and we had a meeting before this session," Freitas said at the panel session.
Brazil had been working on improving its investment attractiveness and had unveiled a major concessions program, which included privatization of the country's airports, the minister noted.
"I'm sure that going forward, we will be able to count more and more on the bank for funding and for other forms of support such as guarantees. We are very excited with this turnaround that the NDB has been giving," Freitas added.
On Tuesday, the NDB approved the loan of $300 million for Brazil's North Region Transportation Infrastructure Improvement Project, which will allow Vale, the Brazilian mining giant, to improve its transportation of iron to ports and global markets.
