Date de publication: 9 juin 2023
Promoteur – Intermédiaire Financier
BANCO BTG PACTUAL SALieu
Description
The project consists in an intermediated lending transaction with Banco BTG Pactual. The operation will finance the expansion of its green energy lending portfolio under a Framework Loan and its lending portfolio to small and medium sized enterprises (SMEs) and Midcaps under a multiple beneficiary intermediated loan (MBIL).
Additionality and Impact
This EUR 300m intermediated lending operation with one of Latin America's leading investment banks will consider at least 70% of the facility dedicated to support investments in climate action, with emphasis on sustainable energy, under a Framework Loan. The remainder of the facility will be dedicated to support microenterprises targeting (very) small-scale investment in eligible sectors under a Multiple Beneficiary Intermediated Loan.
The project demonstrates strong strategic alignment with EU policy goals in Brazil by contributing to an environmentally sustainable, balanced and socially inclusive growth, notably in the context of the recovery from the COVID-19 pandemic. Specifically, the operation will contribute to Climate Action (mitigation) and local private sector development (MSME). In accordance with the Green Deal Team Europe-Brazil Initiative, most of the underlying projects will produce electricity from a renewable source (solar photovoltaic), addressing the market failure of negative climate and environmental externalities, through the reduction of carbon emissions and air pollution (compared to the avoided fossil fuel based generation) and the market failures of providing affordable financing to promoters and/or consumers of sustainable energy.
The EIB lines of credit are expected to provide both financial and non-financial benefits, namely stable (long-term) funding in addition to flexible disbursement conditions in terms of both tenors and interest rates required to adequately fund the underlying investments. Technical, economic, socially inclusive quality of the investments will be measured through operation specific disbursement conditions.
The project is expected to respond to various national policies, including Brazil's Nationally Determined Contributions and its national energy plans which aim to promote the deployment of renewable energies, energy efficiency and achieving climate neutrality by 2050. The operation will also contribute to the achievement of the United Nations Sustainable Development Goals, especially Affordable and Clean Energy (SDG 7) and Climate Action (SDG 13), Decent Work and Economic Growth (SDG 8), and Reducing Inequalities (SDG 10).
The operation is expected to yield an Excellent economic return and a high broader social benefit. The Financial Intermediary is deemed to have the adequate capabilities to implement the foreseen allocations in the current challenging operating environment in Brazil.
Objectifs
The aim is to finance climate action projects undertaken by private sector companies and small-scale projects carried out by SMEs and Midcaps in Brazil.
Secteur(s)
- Énergie - Production et distribution d'électricité, de gaz, de vapeur et d'air conditionné
- Lignes de crédit - Lignes de crédit
Montant BEI envisagé (montant approximatif)
EUR 300 million
Coût total (montant approximatif)
EUR 600 million
Aspects environnementaux
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Passation des marchés
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Statut
Signé - 5/11/2024