(Reuters) – Brazilian development bank BNDES said on Monday it has signed a deal with the Asian Infrastructure Investment Bank (AIIB) to invest 16.7 billion reais ($2.89 billion) in Latin America’s largest economy.
The agreement, which was signed on the sidelines of the G20 summit in Rio de Janeiro, is aimed at financing projects that are in line with the Brazilian Climate Fund and government policies aimed at stimulating economic growth.
BNDES said in a statement that investments targeting growth-oriented projects should promote economic integration between Brazil and Asia in the transport infrastructure, energy connectivity and sanitation sectors, among others.
The partnership also aims to attract private capital for infrastructure projects, Brazil’s development bank added.
“The memorandum signed with AIIB proves that BNDES has resumed its mission of promoting economic and social development and that it has sufficient capacity to diversify financing and seek key international partners to finance sustainable and infrastructure projects that benefit both Brazil as Asia,” said BNDES President Aloizio Mercadante.
($1 = 5.7737 reais)
(Reporting by Luana Maria Benedito; Editing by Alistair Bell)
