BNDES in the Legal Amazon

The report examines BNDES's role in the Legal Amazon from 2009 to 2019, finding that while the North Region receives the highest share of disbursements relative to its GDP, it receives the lowest total share of BNDES funds. Financing is heavily concentrated in large-scale infrastructure, specifically hydroelectric power generation, which often serves the rest of Brazil while local populations remain energy-poor. The authors argue that BNDES has a significant opportunity to pivot toward the energy transition by replacing diesel-based isolated systems with renewable energy and improving basic services like sanitation and internet access to reduce regional inequality.

• Between 2009 and 2019, the North Region of Brazil received the lowest share of total BNDES disbursements, yet it had the highest share of those disbursements in relation to its regional GDP.
• BNDES financing in the Legal Amazon is primarily concentrated in the infrastructure sector, with a heavy emphasis on large-scale electricity generation projects such as the Belo Monte, Jirau, and Santo Antônio hydroelectric plants.
• Despite the region's role as a major electricity exporter, approximately 14% of the Legal Amazon's population (around four million people) remained disconnected from the National Interconnected System (SIN) as of 2020, relying on expensive and polluting diesel generators.
• BNDES has initiated a shift toward the energy transition in the region through a 2021 agreement with Eletrobras to replace diesel fuel with renewables by 2030 and a 2022 pilot project involving the acquisition of R$ 60 million in green debentures to finance photovoltaic solar microgeneration.
• Beyond energy, the Legal Amazon faces critical development gaps in logistics and basic services; for instance, 55% of rural and 45% of urban residents lack broadband internet, and the region requires an estimated annual investment of R$ 6 billion (2018 values) between 2019 and 2033 to meet basic sanitation goals.
• BNDES support in the region is split between direct and indirect financing, with indirect support accounting for 47% of disbursements, primarily channeled through the Bank of Brazil, Caixa Econômica Federal, Itaú Unibanco, and Bradesco.

APA

Climate Policy Initiative (2022). BNDES in the Legal Amazon. https://www.climatepolicyinitiative.org/wp-content/uploads/2022/06/REL-AMZ-2030-BNDES-in-the-Legal-Amazon.pdf

Chicago

Climate Policy Initiative. BNDES in the Legal Amazon. 2022. https://www.climatepolicyinitiative.org/wp-content/uploads/2022/06/REL-AMZ-2030-BNDES-in-the-Legal-Amazon.pdf.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=BNDES in the Legal Amazon |date=September 2022 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2022/06/REL-AMZ-2030-BNDES-in-the-Legal-Amazon.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2022bndes, author = {{Climate Policy Initiative}}, title = {{BNDES in the Legal Amazon}}, institution = {Climate Policy Initiative}, year = {2022}, month = sep, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2022/06/REL-AMZ-2030-BNDES-in-the-Legal-Amazon.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }