Brazil wants funding from China for railways

19 May 2014

A delegation from the Brazilian government travelled to China Friday seeking investments to fund the South American country’s new programme for construction of railway lines, the Brazilian press reported.

The delegation is headed up by the Transport Minister, César Borges and includes the chairman of Brazilian development bank Banco Nacional de Desenvolvimento Económico e Social (BNDES), Luciano Coutinho. According to the official statement the aim of the trip is “to improve ties between the two countries to promote two-way investment in infrastructure.”

The Investment and Logistics Programme (PIL) for railways announced in August 2012 has yet to move beyond the deign stage, but when it was announced it outlined investments of 99.6 billion reals (around US$45 billion).

At the beginning of May the Transport Minister said that there was no date for the first auction to be held and added that he was waiting for a response from investors, who are analysing the feasibility of construction of the only section so far authorised by the authorities in the states of Mato Grosso and Goiás. (macauhub/BR/CN)