Jan 18, 2013

The Board of Directors of the BNDES has approved new financing conditions to implement the high-speed train (TAV Brazil), which will stretch 511 km, connecting the municipalities of Rio de Janeiro, São Paulo and Campinas. The current support conditions were redefined so as to adapt them to the new project's bidding process.

The BNDES’ support will be direct project finance and will have a maximum term of 30 years. The finance support amount will be up to R$ 5.3 billion based on December 2008 and restated according to the IPCA, limited to 80% of eligible items or 70% of the total investment. Interest rates will be calculated using the long-term interest rate (TJLP - currently at 5% per year) plus 1% per year.

Further information may be found here.