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IDB and Brazil Seal $1.6 Million Partnership for Sustainable Transportation with UK Financial Contribution
  • The partnership supports the Brazilian Ministry of Infrastructure’s efforts to develop regulatory frameworks, implement technologies, and update plans for the low-carbon transition.

SÃO PAULO - The President of the Inter-American Development Bank (IDB), Mauricio Claver-Carone, and the Minister of Infrastructure of Brazil, Marcelo Sampaio, signed an agreement of $1.6 million in technical cooperation to support the Brazilian government in its efforts to prepare a national decarbonization plan for the transportation sector. The initiative will be funded by the UK Sustainable Infrastructure Programme (UKSIP).

The goal of the partnership is to help Brazil implement technologies and regulatory frameworks to reduce greenhouse gas emissions from transportation, which will contribute to reach its national targets for 2025 and 2030 (reductions of 37% and 43% respectively).

The partnership will also implement pilot technologies and initiatives to support the low carbon transition in Brazil; and update integrated transport planning, particularly the National Logistics Plan and the General Plans for Public Actions or Partnerships, to meet the country's decarbonization goals for the transportation sector.

"The IDB is committed to concrete, highly impactful solutions that make Brazil more climate resilient. This approach is also economically savvy: the multiplier effect of sustainable infrastructure projects strengthens productive capacity and creates nearshoring opportunities," said IDB President Claver-Carone in São Paulo.

Claver-Carone is visiting São Paulo, where the fifth annual Brasil Investment Forum opened on June 14. The forum is the largest foreign investment event in Latin America and the Caribbean, and is organized by IDB, ApexBrasil and the federal government of Brazil.

"The Brazilian government works to develop a sustainable transport infrastructure from a socio-environmental point of view. We use environmental development indexes to evaluate and stimulate good management practices in the sector and establish sustainability guidelines for our projects and endeavors. We want to be leaders and role models in green infrastructure", said Minister Sampaio.

"The UK government believes that investment in low-carbon infrastructure can help Brazil achieve a greener and more inclusive economic recovery. That is why we are proud of the Sustainable Infrastructure Program, which will support the implementation of the national decarbonization plan in Brazil's transport sector. This project is part of our long-term partnership with the country to support the establishment of ambitious targets for the low carbon transition and the implementation of the commitments made at COP 26 in Glasgow last year," said Melanie Hopkins, British Embassy Chargé d'Affaires.

According to data from the Climate Observatory, Brazil’s transportation sector accounted for 47% of the country’s emissions in 2019, with cargo transport responsible for 40% of this total. In addition to supporting decarbonization efforts, the initiative focuses on improving transportation and logistics to provide better services. It aims to foster sustainability to mitigate the climate effects of transportation infrastructure and services and help them adapt to climate change.

Analyses by the Organization for Economic Cooperation and Development (OECD) and the International Monetary Fund (IMF) have found that every dollar of infrastructure investment has an average multiplier effect of 1.6, from short-term job creation to long-term economic productivity gains.

About the IDB

The Inter-American Development Bank is devoted to improving lives. Established in 1959, the IDB is a leading source of long-term financing for economic, social, and institutional development in Latin America and the Caribbean. The IDB also conducts cutting-edge research and provides policy advice, technical assistance, and training to public and private sector clients throughout the region.

External Contacts

Bruno Aragaki

Bruno Aragaki
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