BNDES' Fust line for small providers gets a 75% larger budget, new financing modalities

This press release was published in English using an automatic translation system.

By BNDES

The National Bank for Economic and Social Development (BNDES) announced the expansion of support lines with resources from the Universalization Fund for Telecommunications Services (Fust), operated through transfers from the network of financial agents that are partners of BNDES, increasing the budget allocation by 75%, from R$200 million to R$350 million, and creating new modalities for micro, small and medium-sized (MSME) providers. The BNDES Fust Automático program, which aims to increase broadband access, now operates with three modalities: Connectivity Credit, Emergency Fust and Equipment Fust – which replaces Finame Fust.

With an estimated potential to reach around 4,000 MSME providers, Fust Crédito Conectividade provides free credit to service providers who expand their customer portfolio, with a credit limit proportional to this increase in new users, compared to the previous year.

“We are expanding financing alternatives indirectly, which takes advantage of the capillarity of the network of financial agents accredited by BNDES to provide greater access to quality credit with Fust resources for micro, small and medium-sized companies that provide telecommunications services, in line with the Federal Government's efforts to expand digital inclusion and connectivity to all Brazilians,” stated BNDES president Aloizio Mercadante.

“Small providers help expand fiber optic internet infrastructure to remote locations, where large operators have no commercial interest. With resources from Fust and a partnership with BNDES, we were able to support initiatives like these that expand connectivity and meet digital inclusion goals,” said Juscelino Filho, Minister of Communications.

Other modalities – The Emergency Fust, in turn, provides working capital to MSMEs to face extreme weather events that impact telecommunications networks, such as the one that recently occurred in Rio Grande do Sul. The credit value is calculated according to the number of broadband accesses prior to the emergency situation, as determined by the Fust Management Council (CGFust).

To increase the program's competitiveness, BNDES reduced its remuneration in the Equipment modality, from 1.45% to 1.25% per year. Furthermore, the BNDES Fust Automático budget allocation can be freely distributed among the three modalities, generating more flexibility in the allocation of resources.

Guarantees – As an alternative to guaranteeing loans, customers will be able to count on the support of Guarantee Funds such as FGI Peac and FGI Tradicional.  

Fust – Established by Law No. 9,998, of August 17, 2000, Fust aims to stimulate the expansion, use and improvement of telecommunications networks and services, reduce regional inequalities and encourage the use and development of new connectivity technologies to promote economic and social development. Managed by CGFust, which is made up of representatives from the government and civil society.