IDB APPROVES $49 MILLION TO BRAZIL TO SUPPORT DEMOCRATIC INSTITUTIONS

NR-206/98

DIRECT INQUIRIES TO:

Press: Daniel Drosdoff Danieldr@iadb.org Danieldr@iadb.org
Public Information: (202) 623-1397 business@iadb.org

FOR IMMEDIATE RELEASE

September 16, 1998

IDB APPROVES $49 MILLION TO BRAZIL TO SUPPORT DEMOCRATIC INSTITUTIONS

Internet and other information technologies will improve communication among legislative assemblies and civil society

The Inter-American Development Bank today announced the approval of two loans totaling $49 million to Brazil, including the IDB's largest project ever in the area of supporting democratic institutions through the use of information technology.
That project, financed with a $25 million loan, is designed to expand and improve channels of communication and information services, through the use of the Internet and other technologies, among the general public, civil society, and elected representatives of up to 2,500 legislative assemblies at the national, state, and municipal levels. The program will help overcome the vast distances in Brazil in furthering communication between elected officials and the public.
A second IDB loan of $24 million will support the improvement of environmental quality and the conservation of natural resources.
In previous action, the IDB this year has approved more than $200 million in financing for Brazil, including $132.8 million for a private sector power project and $76.5 million for the municipal development of Porto Alegre.

DEMOCRATIC INSTITUTIONS

The IDB resources will support the amplification of an existing pilot legislative information system known as Interlegis. The project will form a virtual community of federal, state and local legislators with their staff and bodies to which they are accountable. Interlegis can be found on the Internet at http:// www.interlegis.gov.br.
The expanded system will permit real-time communication among the different legislative groups and between groups of society, electronic meetings and teleconferences, real-time consultation of databases containing legislation, public opinion, bibliographies and jurisprudence, and greater participation of civil society and the public in the legislative process.
Investments will also be made in technology, research, training, and equipment to develop and apply new informatics products to improve information services to legislatures, civil society, and the general public.
The project, to be carried out by Brazilian Senate,* reflects the ongoing IDB commitment to programs that strengthen democracy and reform the state.
The IDB loan is for a 20-year term, with a three-year grace period, at the variable annual interest rate for currency-pool loans, now 6.62 per cent.

ENVIRONMENTAL PROJECTS

The environmental program will be carried out by the Environmental Ministry** through the National Environmental Fund. It will help finance locally developed environmental projects, strengthen the capacity of organizations and their personnel in carrying out the projects, and strengthen the environmental licensing system as a preventive instrument for environmental control.
Projects that address key environmental problems and strategies will be given priority, such as conservation units, applied natural resource and environmental research and technology development, environmental education and outreach activities, and sustainable natural resource management and conservation.
The program follows up on a $22 million IDB loan in 1992 to the National Environmental Fund, which from 1992 to 1997 financed 533 projects, primarily for environmental control, support of protected areas, and environmental education. More than 70 percent of the projects were carried out by nongovernment organizations, community groups, and small municipalities.
The IDB is planning a third loan for the program of $21 million.
The present loan is in national currency for a 20-year term, with a three-year grace period, and a 3 percent annual interest rate.
Local counterpart funds total $16 million.

*Processamento de Dados do Senado (Prodasen)
Tel. (55-61) 224-8984; Fax (55-61) 321-4714
Contact: Regina Borges, diretora

**Ministério do Meio Ambiente, dos Recursos Hídricos e da Amazônia Legal
Esplanada dos Ministérios, Bloco B, 5º andar
70068-900 Brasília, DF, Brazil
Tel. (55-61) 322-7819, 317-1289; Fax (55-61) 226-7101