Mar 21, 2023
“Our project is to return to the historical level of BNDES disbursements since the beginning of the implementation of the Real, which is 2% of GDP. For this, we want to double the size of BNDES by 2026 so that it can fulfill its role of economic and social development,” said BNDES President Aloizio Mercadante at a press conference held on Tuesday the 14th, at the bank's headquarters in Rio de Janeiro.
Mercadante was accompanied by the officers (Luciana Costa, Natália Dias, Tereza Campello, Helena Tenório, José Luis Gordon, Nelson Barbosa and Alexandre Abreu) during the presentation of the results for the year 2022, in which BNDES recorded a recurring profit of R$12.5 billion. This amount reaches R$41.7 billion of net income in 2022, with the impact of the reclassification of the investment in JBS (R$5.8 billion), from affiliated to non-affiliated, the sale of shares of R$2.3 billion, particularly for Eletrobras and JBS, and dividend income of R$18.4 billion, particularly for Petrobras (R$17.2 billion).
The Chief Financial Officer, Alexandre Abreu, pointed out that BNDES followed the trend of asset reduction, which has been occurring since 2015. In the last eight years, the Bank's assets have fallen from R$1.4 trillion at the end of 2014 to R$684 billion in 2022, a real drop of 51% in the period. “BNDES today is the same size as in 2008,” said Abreu. Commenting on the loan portfolio, Abreu pointed out that the loan portfolio is, in corrected numbers, at the same level as in 2008, but with a 30% drop in terms of GDP share. “It is a worrying factor, since the main revenue-generating asset has been falling, if it continues, we will have problems in terms of results,” warned the officer.
Treasury – Aloizio Mercadante revealed that BNDES transferred to the National Treasury R$873 billion in nominal values, since 2015, when considering contractual and advance payments of federal financing, FAT, dividends and federal taxes. This amount exceeds by R$227 billion the sum of all disbursements made in the period (R$646 billion, between 2015 and 2022). “BNDES transferred R$254 billion more than the subsidy it received, of R$414 billion, between 2008 and 2014. Five times the net profit, twenty times the recurring one. It is not the role of BNDES to finance the Treasury at this speed,” said the president.
Mercadante pointed out that BNDES needs to review this relationship with the Treasury so that it can recover its historical role as a strategic instrument for Brazil's development. “We have the value of the TLP which is five years. There are other terms that the National Treasury uses to finance itself. We want to be able to use other rates for different customers,” he explained.
Future – The Chief Planning Officer, Nelson Barbosa, presented to journalists the plan of what has been called BNDES of the Future, which goes through a funding diversification agenda; investment in infrastructure, with a project factory, productive inclusion, focusing on micro, small and medium-sized companies, climate management, innovation and reindustrialization, energy transition, exports and diversity and equity. Barbosa reinforces the need to establish adequate rates for the development of this agenda. “Using the rates that the Treasury uses makes it easier, as there are five-year and three-year rates that can be used in some cases. But we need a structural change as the rate alone does not change the size of the Bank. We are talking to the Treasury about the creation of a Development Letter, LCD, which could be used by development banks to raise funds and which would be exempt from Income Tax ”, explains the officer.
Aloizio Mercadante emphasized the need to open markets so that Brazil's industry can once again modernize, generate employment, income and gain scale and competitiveness. “98% of the market is outside Brazil. For our companies to be competitive, they need to export. Competing in the international market generates jobs, income, and taxes. This helps it modernize the industry that needs to be innovative and green. The world will not have a future without Brazil,” concluded officer Luciana Costa, also present at the event.
The financial statements of BNDES and its subsidiaries, in addition to the presentation to the press, are available on the BNDES Investor Relations Portal.