BNDES approves R$146.1mn for broadband expansion in Greater Fortaleza

Press release from BNDES

This is a machine translation of the original release, issued in Portuguese

The National Bank for Economic and Social Development approved financing worth R$146.1 million from the BNDES FUST Program for Brisanet Serviços de Telecomunicações SA to invest in the expansion of telecommunications services in regions with low income and low network quality. The Brisanet project is the first operation with resources from the Telecommunications Services Universalization Fund (FUST) aimed at universalizing access to 5G broadband in outskirts and favelas. 168 communities located in the municipalities of Fortaleza, Caucaia, Maracanaú and Maranguape (CE) will benefit.

Present at the launch event were the President of BNDES, Aloizio Mercadante, the Socio-Environmental Director of BNDES, Tereza Campello, the Director of Productive Development, Innovation and Foreign Trade at BNDES, José Luis Gordon, the acting Governor of Ceará, Jade Romero, the CEO of Brisanet, Roberto Nogueira, as well as other authorities linked to the state of Ceará and members of civil society. The event was held simultaneously in the cities of Caucaia, Maracanaú, Fortaleza and Maranguape using Brisanet broadband connectivity.

The credit operation for Brisanet is part of the front of connectivity actions in outskirts and favelas of the BNDES Periferias initiative. The project foresees investments for the installation of 95 telecommunications towers and 95 ERBs (Radio Base Stations) to expand the coverage of the Personal Mobile Service (SMP), through the propagation of the 5G signal, reaching 168 communities. In addition, the project includes the installation of 50,000 FWA (Fixed Wireless Access) modems, which allow broadband to be provided wirelessly, using radio links between a cell tower and the customer's home.

“At the beginning of our administration, one of President Lula's determinations was digital inclusion through the availability of broadband banking in schools and favelas. In this sense, we place the use of FUST as a priority and the Brisanet project is emblematic precisely for this reason. It is the first to bring 5G broadband, within the scope of BNDES FUST, to more than 200 thousand people in 168 communities in the metropolitan region of Fortaleza, contributing to the reduction of regional inequalities in access to broadband and creating opportunities for digital insertion for the population of these areas. Expanding connectivity, especially for the poorest, is a priority for the Federal government”, explains the President of BNDES, Aloizio Mercadante. “The light of the 21st century is the internet, especially for young people to study. Education will be increasingly digital and in-person”, he added.

Mercadante also pointed out that, in 2007, when he was a senator of the Republic, he presented a bill linking FUST to the main task of universalizing telecommunications services in public schools. “Our project was only approved in 2020, when I was no longer a senator. The pandemic showed the importance of connectivity for people's lives. Therefore, this launch, 17 years later, reaffirms our commitment and that of President Lula with this strategic agenda for development and inclusion”, he states.

For the director of Productive Development, Innovation and Foreign Trade at BNDES, José Luis Gordon, “it is very important to see FUST resources being used to execute projects with high social impact. After more than 20 years since its creation, BNDES and the Federal Government managed to unlock this source of resources to bring connectivity to those who need it most, especially public schools and needy communities. This is a priority agenda for BNDES, fulfilling its development role to improve the lives of the population”.

"Good internet is an essential item in our lives today and brings opportunities to our youth. Universal connectivity is enough to make a difference in the lives of each and every one of us", pointed out the acting Governor of Ceará, Jade Romero.

Roberto Nogueira, founder and president of Brisanet, believes that “digital inclusion has always been our greatest purpose and the main driver of Brisanet's rise. Now, with the support of FUST resources, we are determined to go even further, helping to bring, with innovation and technology, connectivity where it is most needed", he concludes.

“Our main mission is to bring internet access to those who need it most, to those who are digitally excluded. To achieve this, we are bringing connectivity to riverside communities, villages, settlements and also to outskirts. With this initiative, we will have quality internet for communities in the metropolitan region of Fortaleza, promoting greater development and quality of life for the population”, said the Minister of Communications (MCOM), Juscelino Filho.

Regional impact - The Brisanet Group is one of the largest telecommunications providers in Brazil, with a presence in 9 states in the Northeast and revenues of R$1.3 billion in 2023. Brisanet has been a BNDES customer since 2016, when it became the first provider region to have the support of the Bank. Since then, BNDES has been an important supporter of Brisanet with 6 approved direct operations totaling almost R$160 million in financing.

BNDES FUST – The product is aimed at investment by companies providing telecommunications services in expanding and/or improving the quality of telecommunications networks and services with a special focus on three areas: schools, cities (including favelas) and rural areas. Financing has a cost based on TR (Referential Rate) and a total term of up to 15 years. From October 2023 to April 2024, six credit operations from the refundable BNDES FUST program have already been approved, totaling R$368.2 million, of which R$61.3 million will be invested in expanding public school connectivity .