The objective of this program is to finance eligible projects via loans to eligible enterprises in Brazil, that meet IIC and BPN Brasil’s loan eligibility criteria and environmental and labor requirements. These small and medium-size enterprises (SMEs) in Brazil require either medium or long-term financing in order to carry out their operations. Financing with appropriate terms will make it possible to generate direct and indirect employment and improve the financial structure of SMEs, which have limited access to financing with terms of more than one year.
This is a category III project according to the IIC’s environmental and labor review procedure because it could produce certain effects that may be avoided or mitigated by following generally recognized performance standards, guidelines or design criteria. Each subloan will be required to comply with national environmental and labor laws, regulations and standards as well as IIC environmental guidelines. To enable BPN Brasil to better understand and enforce the IIC’s environmental and labor requirements, the Bank must retain at least two representatives who have attended the IIC financial intermediary environmental training workshop.