The 2014 World Cup

The choice of Brazil as the host for the 2014 World Cup has created a series of opportunities and challenges for the country. Success in hosting this event will contribute to consolidating Brazil’s presence on the agenda of major global sporting events, besides creating important and permanent benefits for national tourism.

To make this event feasible, it is necessary to adapt urban infrastructure in host cities. This is a complex process, involving not only stadiums, which must meet the International Football Federation’s (FIFA) specifications, but also other aspects, among them: access to several means of transport that can handle the intense commuting associated to the World Cup; capacity and quality of the hotel sector in host cities; information technology structure in each host city; international media centers and international broadcasting centers; and fan-park installations (urban space, sponsored by FIFA for  the public exhibition of games).

Investments in hotel and service infrastructure are aimed at guaranteeing the quality of service for visitors, fostering a positive image of the country, and creating sustainable facilities that allow use of the legacy that will be created by the event. Brazil expects to receive between 500,000 and 600,000 foreign tourists for the Work Cup and thousands of Brazilians will be traveling to host cities, producing a direct impact on the tourism and generating jobs. Estimates for the total value of the investments in infrastructure and services made for the World Cup exceed R$ 30 billion.

To rise to the challenges of hosting the 2014 World Cup, the BNDES was called in to act as one of the main financing agents for states, municipalities, companies and related entities, to implement the urban infrastructure adaptations required in the host cities.

The Bank created two financing programs for investments necessary for the World Cup: the BNDES ProCopa Arenas and the BNDES ProCopa Tourism.

The objective of the BNDES ProCopa Arenas is to provide support for the construction and renovation projects for the stadiums that will host the World Cup games, as well as the urbanization of surrounding areas. Within the scope of this Program, Stadium construction/renovation projects were approved in eight states: Rio de Janeiro, Ceará, Amazonas, Bahia, Pernambuco, Rio Grande do Norte, Mato Grosso and Minas Gerais. In the specific case of the Mineirão Stadium, the BNDES participated in structuring the project by means of the FEP resources (see Project Structuring).

The BNDES ProCopa Tourism, on the other hand, is aimed at financing the construction, renovation, expansion and modernization of hotels to increase the capacity and improve the quality of hotel services.

The BNDES ProCopa Tourism Program offers differentiated financing rates for structured undertakings that take into consideration the aspects of environmental sustainability, verified via environmental certification recognized by an accredited agency with the Brazilian Conformity Evaluation System of the National Institute of Metrology, Normalization and Industrial Quality (Inmetro).