BNDES: El Banco de Desarrollo

Abstract

The BNDES (Brazilian Development Bank) is a Brazilian state-owned institution, created in 1952, which has become the main provider of resources for long-term financing of investments in the domestic economy, with a focus on the productive sector. Its functions include supporting technological innovation, increasing infrastructure and productive capacity, promoting exports, expanding micro, small, and medium-sized enterprises, developing the capital market, and reducing social and regional imbalances. BNDES operates directly, for large companies, and indirectly, for small and medium-sized companies, through accredited financial institutions. The main source of BNDES's resources comes from the return on operations already carried out and from the Workers' Assistance Fund (FAT), and the institution is evaluated by various public bodies and independent auditors. Although BNDES seeks positive results to increase its operational capacity, its presence in the medium and long-term credit market is of extreme relevance, given the incipient participation of private financial institutions in this segment.