MIGA and Banco do Brasil Launch $700 Million Trade Finance Guarantee Program with BBVA and HSBC Leading First Tranche
LONDON, June 23, 2025 – Banco do Brasil and the Multilateral Investment Guarantee Agency (MIGA), which houses the World Bank Guarantee Platform, have agreed to a trade finance guarantee program of up to $700 million, supporting micro, small, and medium-sized exporting enterprises (MSMEs) and sustainable projects in Brazil.
The program provides MIGA’s trade finance guarantees against default risk, enabling global financial institutions to extend credit to Banco do Brasil with reduced risk and lower costs.
MIGA will provide up to $700 million in coverage over a three-year period for eligible trade-related loans of up to one year. The initial disbursement of $350 million will be made immediately, with Banco Bilbao Vizcaya Argentaria (BBVA) and HSBC acting as lead arrangers. MIGA, as a member of the World Bank Group, provides significant credit enhancement through its 95% coverage of the guaranteed loans, allowing Banco do Brasil to expand its foreign currency credit lines and diversify its source of funding in the market.
“We are pleased to partner with Banco do Brasil on this transformative Trade Finance Guarantee program,” said Hiroshi Matano, MIGA Executive Vice President. “By expanding access to credit for MSMEs, we are helping unlock their potential to participate in global trade and drive Brazil’s clean energy transition. This collaboration reflects our commitment to inclusive economic growth and to addressing global challenges through innovative financial solutions.”
“Banco do Brasil’s international operations are increasingly aligned with major global agendas. This funding is one of many commitments BB has made to strengthen sustainable development and enhance the competitiveness of Brazilian companies abroad. We are expanding access to credit for MSMEs and enabling trade and clean energy projects, which are essential for inclusive growth and the country’s energy transition,” said Francisco Lassalvia, Vice President of Wholesale Business at Banco do Brasil.
The funds raised will be allocated to financing trade finance operations, sustainable production, and renewable energy projects, including the acquisition of equipment and inputs such as biofuels, solar, wind, and biomass energy systems, particularly—but not limited to—the agricultural sector.
This program reinforces Banco do Brasil’s role as a development agent by supporting a segment that accounts for 99% of businesses in the country and strengthening Brazil’s international trade. It also contributes to addressing climate change by promoting more sustainable business practices and models.
About Banco do Brasil
Banco do Brasil S.A., founded in 1808, is the oldest financial institution in Brazil and one of the oldest in continuous operation worldwide. Headquartered in Brasília, it is a mixed-capital company controlled by the Brazilian government and listed on the B3 stock exchange. Banco do Brasil offers a comprehensive range of financial services including retail, corporate, and investment banking, as well as asset management and insurance. With a strong presence both domestically and internationally, the bank plays a pivotal role in supporting Brazil’s economic development and promoting financial inclusion.
About the World Bank Group Guarantee Platform
Initiated in 2024, the World Bank Group Guarantee Platform consolidates guarantee products and experts from across the World Bank Group at MIGA. It provides a simplified and comprehensive menu of guarantee solutions, enabling clients to select the instrument that best suits their needs. The platform streamlines processes, removes redundancies, and provides greater accessibility by de-risking investments in developing countries. Its goal is to boost the World Bank Group’s annual guarantee issuance to $20 billion by 2030.
For more information about the guarantee platform, please visit: https://www.worldbank.org/wbgguarantees
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Contact:
In Washington: Elizabeth Howton, (202) 458-5922 or ehowton@worldbankgroup.org