Brazil's Bndes backs Rio Grande do Sul flood victims

Market: Agriculture
09/05/24

Brazil's Bndes development bank will suspend the debts of companies and farmer hurt by recent flooding in Rio Grande do Sul state for a year and provide R5bn ($970mn) in credits to micro-, small- and medium-sized firms and small businesses.

The measure is part of Bndes' emergency program of credit access and will be on effect later this month, it said. The credit is included in the R50.9bn aid package announced by the Brazilian federal government on 9 May targeting farmers, workers and families enrolled in social programsin the southern state.

The suspension of debts, including payments on interest and principal, will benefit small business owners and farmers hit by the heavy rainfall and floods that have hammered Rio Grande do Sul state since 29 April. The arrangement will total principal and interest payments of R6.1bn in 2024 and of R1.6bn next year.

Bndes may also contribute with other projects to help the state. That may include construction of schools, hospitals, bridges and roads and urban development, the bank's head of planning and infrastructure Nelson Barbosa said.

At least 428 cities have been hit by the floods. So far, there are 107 confirmed deaths and 136 people missing, according to the state's last emergency service report. Around 1.5mn people have been affected by the tragedy.

By Maria Albuquerque

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USDA awards more funding to increase fertilizer output

19/12/24

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