Brazil state-run bank decreases interest rate for non-local companies

Brazil state-run bank decreases interest rate for non-local companies

Brazil's state-run development bank will begin to implement the same interest rates to both domestic and foreign owned companies in order to increase investments from overseas. Currently, non-Brazilian companies are paying 1% point more than local corporate borrowers for direct loans from BNDES. However, the bank will increase the rate of loans taken through a third party. In addition, the bank will lower interest rates because it becomes difficult to identify the difference between foreign and local companies.