NDB loans US$300 million to Brazil’s development bank for renewables

Facebook
Twitter
LinkedIn
Reddit
Email
Credit: BNDES

The New Development Bank (NDB), a China-led multilateral development bank formed by the BRICS nations, has signed a US$300 million loan agreement with the Brazilian Development Bank (BNDES) to support investment in energy from wind, solar, small hydropower plants, biomass, biogas and agricultural residues.

The loan is forecast to help enable the addition of around 600MW to Brazil’s generation capacity. BNDES will also use the funds to promote its existing lines of financing for renewables, which it already does with funds from multilateral agencies and official credit agencies.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

The NDB loan to BNDES has a 12-year term, with a grace period of three and a half years. The interest rate is based on Libor.

The loan aims to help Brazil move away from its reliance on hydropower, the effectiveness of which has been hampered by climate change and drought, according to a BNDES release. Hydro accounts for more than 60% of Brazil's entire energy mix.

In addition to the partnership with Brazil, NDB has joined two operations in China (US$379 million), two in India (US$600 million), one in Russia (US$100 million), and one in South Africa (US$180 million).

Brazil's large-scale solar sector was setback heavily last year with the last minute cancellation of its only wind and solar auction.

Read Next

May 28, 2024
US solar project company Pine Gate Renewables has signed an environmental asset purchase agreement (EAPA) with the social media giant Meta for a 204MW solar PV project in Temple, Texas.
May 24, 2024
Solar project developer Recurrent Energy has secured a €674 million (US$730 million) revolving credit facility to expand its European solar and battery energy storage system (BESS) portfolio.
May 24, 2024
Ørsted has closed a US$680 million tax equity financing with JP Morgan for a solar project, alongside a solar-plus-storage project.
May 22, 2024
Singapore-headquartered solar manufacturer Maxeon has received a notice of non-compliance from the Nasdaq stock exchange for failing to file its financial statements on time.
Premium
May 22, 2024
The global price of silver has continued to rise, with the average price increasing to RMB8,211/kilogram (US$32.03/ounce), a historical high.
May 21, 2024
"Why do my insurance premiums keep rising, even though I haven't had a claim?" The answer lies in the landscape of natural catastrophe risk.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
May 29, 2024
11am (EDT) / 5pm (CEST)
Solar Media Events
June 4, 2024
London, UK
Upcoming Webinars
June 11, 2024
3:00 PM (BST) / 4:00 PM (CEST)
Solar Media Events
July 2, 2024
Athens, Greece