Northeast Brazil leads growth in approvals of Climate Fund projects.
Credit volume approved in the region was 36 times greater than in 2022. Nationwide, the Climate Fund recorded R$ 10,2 billion in approvals last year.
247 - Brazil's National Bank for Economic and Social Development (BNDES) ended 2024 with a record number of approved loans from the Climate Fund, totaling R$ 10,2 billion. This volume is almost ten times greater than that recorded in the last year of the previous government, when it totaled R$ 1,1 billion. The Northeast stood out as the region that advanced the most, with R$ 1,8 billion in approved projects — an impressive 36-fold increase compared to 2022, when only R$ 51 million was released. The data was released by BNDES.
The region is concentrating investments in renewable energy projects, especially wind and solar, which should add approximately 450 megawatts (MW) to the National Interconnected System (SIN). Furthermore, the resources enable strategic actions in water resources in Ceará, reinforcing the local water infrastructure. The significant growth in the Northeast was followed by the Central-West region, where credit approvals from the Climate Fund reached R$ 2 billion, a 16,1-fold increase compared to 2022.
“BNDES is the largest financier of clean energy in the world, with more than US$36 billion invested in the sector in Brazil since 2004, according to research by Bloomberg. Made possible with the support of the Ministry of Finance, the Climate Fund allows us to deepen this strategy of strengthening the green economy, decarbonization, and environmental sustainability, especially in this scenario of growing global climate change denialism,” stated Aloizio Mercadante, president of BNDES.
Other regions also registered significant growth in the volume of approvals. The Southeast received the most resources in absolute terms, totaling R$ 4,1 billion, an increase of 7,7 times compared to 2022. In the North, approved projects reached R$ 460 million, a 5,5-fold increase, while in the South the volume reached R$ 1,6 billion, a 5,3-fold increase.
Created in 2009, the Climate Fund is one of the main national initiatives for financing climate change mitigation and adaptation. Resources come from special participation in oil exploration and other sources, distributed through repayable lines via BNDES (Brazilian Development Bank) and non-repayable lines through the Ministry of the Environment. The fund has been essential in fostering sustainable projects in the country, contributing to the energy transition and the reduction of carbon emissions.