May 29, 2014

• Highlights in the period were releases for infrastructure: R$ 21.6 billion

Disbursements by the Brazilian Development Bank (BNDES) reached R$ 58.8 billion in the 1Q2014, up 8% in comparison to the same period in 2013.

The result was driven by the infrastructure sector, whose releases totaled R$ 21.6 billion, a 48% jump in comparison to the 1Q2013, representing a 37% stake in the Bank’s total disbursements in January-April 2014.

Operations in the electric energy, telecommunications, subway, highway and airport transport sectors, among other structuring projects that are part of current investments in logistics in Brazil. Practically all segments that comprise the infrastructure sector presented an increase in disbursements.

Higher  disbursements in the 1Q2014 partly reflect the strong demand for the Bank’s resources recorded at the end of 2013. Other indicators, however, indicate moderation, in keeping with the expectations that the Bank will end 2014 with disbursements lower than those in 2013, paving the way for the private credit market and the capitals market.

The BNDES’ total approvals, at R$ 52.7 billion in January-April this year, saw an 11% fall in comparison with 2013. The Bank’s total consultations reached R$ 57.2 billion in the first quarter, presenting a 19% reduction. In absolute terms, the highest amounts in approvals and consultations were registered in the infrastructure sector, R$ 19.7 billion and R$ 24.5 billion, respectively.

In the distribution of disbursements to industry in the 1Q2014, the BNDES released R$ 15.6 billion in financing (a 22.5% drop in the quarterly comparison), representing 26% of the total releases in the period. The amount of R$ 16.4 billion was released to the trade and services sector, higher than in the previous year. To the agriculture sector, the Bank released R$ 5.2 billion up to April 2014.

To micro, small and medium-sized enterprises, the BNDES disbursed R$ 19 billion in January-April this year. The result is in keeping with the performance of the BNDES Investment Maintenance Program (BNDES PSI), which released R$ 25 billion in the 1Q2014 and was similar to the BNDES Finame’s operations, which presented disbursements stable at R$ 23 billion.

In the transport segment, which received R$ 11.7 billion, there was a 7% increase. In the non-transport segment (where highway machinery, machine tools, boiler shops and others are listed) disbursements reached R$ 7.5 billion (an 11% increase).