1. Themes
  2. Concessional Finance
  3. Guarantees

Guarantees

Guarantees are increasingly used to de-risk climate investments in Brazil, but remain fragmented. Strengthening guarantee instruments can help scale private finance, especially in infrastructure, clean energy, nature-based solutions and climate-smart development.

2030 Goals

01

Strengthen blended finance mechanisms by involving sub-national banks in co-financing and risk-sharing structures, enabling private sector participation and scaling regional climate infrastructure and restoration projects.

02

Scale up climate-aligned guarantee instruments to support low-carbon infrastructure, renewable energy, sustainable transport, and climate-smart agriculture.

03

Integrate guarantees into blended finance structures such as Fundo Clima and the Amazon Fund to increase the financial viability of nature-based solutions and adaptation investments.

04

Expand the scope of guarantees beyond credit risk, including policy and performance risk coverage, especially for innovation-heavy or decentralized projects.

05

Mainstream the use of guarantees in subnational and regional development finance, particularly in climate-vulnerable areas like the North and Northeast.

Status

No Progress

Brazil is gradually expanding federal and state guarantee mechanisms to de-risk climate-aligned investments. Coverage remains uneven, and scaling guarantees will be critical to attract private capital into infrastructure, renewable energy, and adaptation projects.

The Infrastructure Guarantee Fund, managed by the Brazilian Development Bank, provides partial credit guarantees for projects such as renewable energy and sustainable mobility, helping reduce risks in public-private partnerships.

The Investment Guarantee Fund, also managed by the Brazilian Development Bank, supports lending to micro, small, and medium enterprises, with some lines promoting energy efficiency and clean technology adoption.

The Regional Sustainable Infrastructure Development Fund was created by the federal government to finance regional projects with environmental and social criteria and is authorized to deploy guarantees to improve bankability.

Leading Actors

Cooperation is required between these actors and audiences to drive progress foward in Guarantees.

Private Financial Institutions

Allianz

Private Financial Institutions

Swiss Re

Private Financial Institutions

Itaú

Private Financial Institutions

Bradesco

Private Financial Institutions

Santander (CIB)

Private Financial Institutions

Agri3 Fund

Public Financial Institutions

Brazilian Development Bank (BNDES)

Public Financial Institutions

Minas Gerais Development Bank (BDMG)

Multilateral Development Banks

Inter-American Development Bank (IDB)

Multilateral Development Banks

Development Bank of Latin America and the Caribbean (CAF)

Multilateral Development Banks

European Investment Bank (EIB)

Multilateral Development Banks

BRICS NDB

International Organizations

Green Climate Fund (GCF)

Ministries

Ministry of Finance (MF)

Ministries

Ministry of Environment and Climate Change (MMA)

Ministries

Ministry of Planning and Budget (MPO)

Ministries

Ministry of Foreign Affairs (Itamaraty)

Other Governmental Organizations

National Treasury (STN)

Other Governmental Organizations

Office of the Comptroller General (CGU)

Other Governmental Organizations

Federal Court of Auditors (TCU)

Other Governmental Organizations

Federal Attorney General's Office (AGU)

Supportive Stakeholders

Instituto Socioambiental (ISA)

Supportive Stakeholders

Instituto do Clima e Sociedade (iCS)

Supportive Stakeholders

Conselho Empresarial de Desenvolvimento Sustentável (CEBDS)

Key Milestones

Showcasing the key reform milestones for Guarantees that have been addressed at global events.

View Roadmap

Brazil

National Climate Plan (“Plano Clima”)

View Event
  • Guarantees

    Strengthen subnational engagement by enabling municipalities and regional banks to adopt and scale climate-aligned guarantee instruments

  • Shifting Insurance Models

    Integrate climate insurance into national adaptation policy frameworks to align risk transfer with resilience planning and public financial protection.

Brazil

Plano Safra 2026-2027 announcement

View Event
  • Enhancing Cooperation Across Development Banks

    Integrate subnational PDBs (Amazonian Bank, Brazilian Northeast Bank) more systematically into national climate and development planning processes

  • Guarantees

    Expand guarantee coverage to underutilized sectors such as nature-based solutions, decentralized renewables, and adaptation projects

Brasilia, Brazil

Brazil Investment Forum

View Event
  • Guarantees

    Establish a unified climate-dedicated guarantee facility to improve coordination, visibility, and efficiency across instruments

  • Mitigating Currency Risk

    Generate and disclose robust data on Foreign exchange exposure and mitigation pathways in Brazilian climate deals to support investor decision-making and credit approvals.

Learn More

Publications and educational material to deepen understanding of Guarantees.

Fundo de Desenvolvimento da Infraestrutura Regional Sustentável (FDIRS)

Guarantees

Information on the Fundo de Desenvolvimento da Infraestrutura Regional Sustentável (FDIRS), a federal mechanism to finance sustainable regional infrastructure.

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BNDES Fundo Garantidor

Guarantees

Details of the BNDES Guarantee Fund, designed to reduce credit risk and expand financing for sustainable investment.

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