Banco do Brasil SME Agribusiness Partnership (IIC-BR-11930-01)

Countries
  • Brazil
Where the impacts of the investment may be experienced.
Financial Institutions
  • IDB Invest
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Bank Risk Rating
FI
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Apr 11, 2017
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Banco do Brasil S.A. acting through its Grand Cayman branch
The holder of the loan, grant, or other investment.
Sectors
  • Agriculture and Forestry
  • Finance
  • Industry and Trade
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 30.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 500.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ IIC website

Updated in EWS Aug 12, 2017

Disclosed by Bank Nov 16, 2016


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Project Description
The Financing is intended to support BdB in increasing access to financing for micro and small enterprises (MSEs) involved along the agribusiness value chain in Brazil. Specifically, the A loan will be dedicated to serving those MSEs operating in underserved areas of the country, including the Northeast, while the B loan will work with agribusiness MSEs throughout the country. In addition, the IIC will seek to support BdB with advisory services focused on its microentrepreneur clients on issues of financial education. The proposed financing consists of an A/B senior unsecured loan of approximately US$500 million to Banco do Brasil S.A (“BdB” or the “Bank”) as follows: (i) IIC A loan of up to US$30 million to be funded by the IIC; (ii) IDB A loan of up to US$70 million to be funded by the IDB; and (iii) B loan expected to be of approximately US$400 million to be funded through the sale of participations to commercial lenders (the “Financing”).
Investment Description
  • IDB Invest
Contact Information
ACCOUNTABILITY MECHANISM OF IIC The Independent Consultation and Investigation Mechanism (MICI) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an Inter-American Development Bank (IDB) or Inter-American Investment Corporation (IIC)-funded project. If you submit a complaint to MICI, they may assist you in addressing the problems you raised through a dispute-resolution process with those implementing the project and/or through an investigation to assess whether the IDB or IIC is following its own policies for preventing or mitigating harm to people or the environment. You can submit a complaint by sending an email to MICI@iadb.org. You can learn more about the MICI and how to file a complaint at http://www.iadb.org/en/mici/mici,1752.html (in English) or http://www.iadb.org/es/mici/mici,1752.html (Spanish).