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IFC provides BRL 67 million to Banco Caixa Geral to Support Climate Change Mitigation in Brazil


Patricia Carvalho, IFC
Phone: (55 11) 5185- 6873
E-mail: pcarvalho@ifc.org

Viviane Corbett, BCG
Phone: (55 11) 3073-9360
E-mail: viviane.corbett@bcgbrasil.com.br

São Paulo, Brazil, October 13, 2014 - IFC, a member of the World Bank Group, announced  a long-term loan of BRL 67 million (about USD 30 million) to Banco Caixa Geral - Brasil (BCG), part of Caixa Geral de Depósitos Group (CGD), a world player in renewable energy financing. IFC’s 5-year loan will help fund projects that contribute to climate change mitigation in Brazil.

Investment in renewable energy is a key development priority for IFC, as it helps diversify Brazil’s energy matrix, create jobs, and support the economic development while reducing reliance on fossil fuel based sources. With IFC’s investment, BCG will invest in projects that promote energy efficiency and use of renewable energy, aiming to reduce greenhouse gas emissions (CO2).

“We welcome IFC’s first climate-smart investment in BCG. Natural resources play an important economic role, contributing to social and economic development and the well-being of present and future generations”, says Henrique Cabral Menezes, BCG CEO in Brazil. “With IFC’s investment, BCG will also enhance its social and environmental policies, anticipating the trend for stricter regulatory requirements for financial institutions.”

“IFC is pleased to partner with BCG to support expansion of climate-smart projects, which play an increasing role in helping the expansion of power supply in Brazil in a sustainable manner”, says Hector Gomez Ang, IFC Country Manager in Brazil. ”Diversification of energy sources is a key component of Brazil’s long-term competitiveness and sustainable social and economic growth.”

In the last five years, BCG advised and structured financing to various infrastructure projects in Brazil amounting to USD 10 billion, USD 2.5 billion of which for renewable energy and sanitation. This is in line with the global strategy of CGD, which was recognized as the “Best Sustainable Bank in Europe” by the New Economy magazine in 2010, 2011 and 2012.

IFC’s renewable energy strategy is to invest in technology, scale and new business models to reduce renewable energy cost so that it becomes a widely used source of power and supports expansion of access to energy in emerging markets. Since 2005, IFC has invested more than $11 billion in 600 climate-related projects that have helped developing countries meet their energy needs while supporting a green growth path.

About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. Working with private enterprises in about 100 countries, we use our capital, expertise, and influence to help eliminate extreme poverty and boost shared prosperity. In FY14, we provided more than $22 billion in financing to improve lives in developing countries and tackle the most urgent challenges of development. For more information, visit www.ifc.org

About Banco Caixa Geral - Brasil
Banco Caixa Geral – Brasil  is the Brazilian subsidiary of the Caixa Geral de Depósitos Group (CGD), the largest Portuguese financial group. Present in 23 countries in four continents, and with a 138 years of history, CGD is a reference in Portuguese-speaking countries, offering a wide portfolio of products and services to meet its clients’ needs. In Brazil, BCG is focused on providing investment banking solutions to clients engaged in business with Europe (Iberian Peninsula) and Africa.  For more information, visit www.bcgbrasil.com.br


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