Commercial banks Bradesco, HSBC, Itaú, and Santander have won a federal tender under the Eco Invest Brasil program to manage nearly R$ 50 billion (about $9.2 billion) in green funds and decarbonization loans, according to reporting by Folha de S.Paulo. The financial package pairs R$ 13.2 billion in public capital from the Climate Fund (Fundo Clima) with R$ 36.75 billion in private funding commitments.
The auction was run by the National Treasury Secretariat under the Ministry of Finance alongside the Ministry of the Environment and Climate Change (MMA). The final results await official ratification from the program executive committee. Six banks submitted 23 competing proposals during the September 15 session, in which state-owned Banco do Brasil and Citibank also participated without securing any segments.
Sector Breakdown and Regional Focus
Bradesco won three separate tracks and secured the largest public allotment, drawing R$ 7.5 billion in state capital and pledging R$ 21 billion in private funds, reaching R$ 28.5 billion. These funds will support green fertilizer plants, alternative proteins, and green chemistry across the São Francisco river basin and the agricultural heartland of the Center-West, where farming operations remain heavily reliant on imported fossil-based fertilizers.
HSBC took the track for green fuels, biogas, and biomethane with R$ 5.2 billion in combined capital (R$ 1.6 billion public and R$ 3.6 billion private), aimed at sugarcane and ethanol refineries in São Paulo and Goiás. Santander won the segment for critical mineral processing, batteries, and electric mobility in mining corridors across Minas Gerais and Bahia, managing R$ 6.5 billion. Itaú took industrial automation and artificial intelligence with R$ 9.75 billion (R$ 2.5 billion public and R$ 7.25 billion private).
Leveraging Sovereign Debt for Decarbonization
The public share is financed through sustainable sovereign bond sales carried out by the National Treasury in overseas capital markets, directly linking Brazilian economic transition to global climate obligations under the Paris Agreement. The program operates through two channels: R$ 27 billion for early-stage and mid-stage innovation equity funds, and R$ 22.95 billion in corporate credit facilities.
While the MMA reports that previous Eco Invest auctions have attracted over R$ 140 billion in approved proposals, capital deployment on factory floors and agricultural fields still depends on completing private fundraising and selecting recipient firms in the next phase.