Brazil Starts 8 Infrastructure Projects with IMF Blessing

Eight major projects with economic and social impact will split the first installment of funds from the 2005 Federal Budget allocated to an agreement between the federal government and the International Monetary Fund (IMF).

This is the so-called pilot project, which includes highway recovery, irrigation, dam construction, federal revenue collection, integration of meteorological data, and investment in the Biotechnology Center of the Amazon.


These projects, which promise financial returns, were determined by the Ministries of Finance and Planning during the course of 2004, because they will improve the country’s infrastructure.


By the agreement with the IMF, the money spent on these projects will be excluded from calculations of the primary surplus, allowing the economic team not to have to chalk these amounts up as expenses.


The first installment represents US$ 1.0 billion (2.8 billion reais) of a total of US$ 3.3 billion (9 billion reais) that will be invested over a three-year period.


The agreement has still not been ratified officially, but, according to the explanation offered by the president of the Joint Budget Commission, Deputy Paulo Bernardo (PT/PR), it was necessary to earmark these funds in the budget, which was approved by the Congress in the final week of December, to establish an advance guarantee that the terms of the agreement will be fulfilled when the process is completed.


Translation: David Silberstein
Agência Brasil

Tags:

You May Also Like

Brazil Talks About a Revolution in Exports After Russia’s Embargo on US’s and EU’s Produce

Russia’s announcement about its embargo on agriculture products from the US and Europe opens ...

Brazil’s Petrobras Strikes Light Oil Deep in the Santos Basin

Petrobras, the Brazilian oil giant, announced yesterday, July 11, the discovery of light oil ...

Despite Cattle Disease Brazilian Beef Exports Grow 26% to Another Record Year

Brazilian beef exports should yield US$ 3.1 billion, up to the end of December ...

Brazil’s Internet Surfer Population Reaches 39%

In a surprising result for many, the number of Brazilians who have access to ...

Arabic Becomes Hip in Brazil

There is an increasing interest from the Brazilians to learn the Arab language in ...

The damaged Legacy that collided with Boeing 737

US Pilots Association Says Brazil Air Authorities Made Terrible Mistake

The Allied Pilots Association (APA), which representing the 12,000 pilots of American Airlines, has ...

Brazil Opts for “Contains” Instead of “May Contain” for Labeling Transgenic Products

Brazilian Ministry of Environment (MMA) issued a note informing that President Luiz Inácio Lula ...

Toyota Corolla flex-fuel car in Brazil

Toyota Gets into the Flex-Fuel Business in Brazil

Toyota is launching cars that run on ethanol and gasoline in Brazil amid growing ...

Brazil Stocks Sink Deep on Interest Rate Concerns

Latin America were heavily pressured by Brazilian losses, as investors returned yesterday’s gains and ...

US Senator Defends UN Permanent Seat for Brazil

US Senator Norm Coleman, a Republican from the state of Minnesota defended Brazil’s entry ...