marcio migon - airfinancing workshop - panel 2: resources for the sector: access to the capital and...
TRANSCRIPT
AIRFINANCING WORKSHOP AFTERNOON SESSION – MARCH, 30th
PANEL 2: Resources for the sector: access to the capital and financings
PAINEL 2: Recursos para o setor: Acesso ao capital e financiamentos
BNDES Export Credit and Guarantor Funds Division (AEX)
April, 2017Marcio Migon
Classification: Open InformationManagement Unit: AEX
Founded on June, 20th, 1952.
100% state-owned company under private law.
Key instrument for implementation of Federal Government’s industrial and infrastructure policies.
Main provider of long-term financing in Brazil.
Emphasis on financing investment projects.
Support to micro, small and medium-sized companies is a BNDES´ strategic priority at the moment.
BNDES Highlights
InfrastructureHeavy Industry – Consumer Goods
Technological Development
Time Line
Energy
Agribusiness
Exports
Urban and Social Development
Social Inclusion
Small BusinessSustainability
Innovation
50’s 60’s 70’s 80’s 90’s 00’s Today
Imports Substitution
Privatization Program
10’s
Privatization Program
Total Assets
In R$ billion
187 203277
387
549625
715782
877931
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Annual Disbursements
65
91
136
168
139
156
190 188
136
62
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 3Q
In R$ billion
Data for the first three quarters of 2016.
Disbursements for Export Finance
Converted to US dollar on the disbursement dates.In US$ billion
3,24,5
3,54,9
1,70,9
1,70,4 0,9
0,2 0,3
2,6
4,5
8,0
2,3
2,9
3,7
2,2
0,3
1,6
1,0 0,5
0,4
0,4
0,20,3
0,7
1,0
0,9
1,4
1,10,8
0,7
1,2
1,7
2,0
2,5
1,9
1,8
1,0
0,6
0,1
5,9 6,3
4,2
6,6
8,3
11,3
6,75,5
7,1
4,4
2,1
4,1
0,0
2,0
4,0
6,0
8,0
10,0
12,0
14,0
16,0
18,0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
TotalPost-shipmentBNDESPost-shipmentFinamePSIPre-shipment
8Fontes: Embraer e BNDESData base: dezembro/2016
1.072 aeronaves financiadas, US$ 20,3 bi desembolsados
Embraer 120, 135, 140 e 145646 aeronaves Embraer 170, 175, 190, 195
426 aeronaves
1434 40
9480
129
70 7151
18
1333
23
20 17 9 4 721
42 4361
1
11
3 15 3832
14
171
1
10 82
6
6
7 6
14
44 48
94
80
129
70
84 85
52
0
2334
53
3627
45 4943
62
204
606665
1414
1154
1910
1354
16191755
1224
0
483
692
1221
988
584
995 1005 985
1463
0
200
400
600
800
1000
1200
1400
1600
1800
2000
0
20
40
60
80
100
120
140
160
180
200
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Família145(601) Família170(293) Família190(133) Outros- defesa,executivaeE120(45) Desembolsosanuais
Aeronaves(unidades)
Desembolsos(US$milhares)
Liquidez ‘exuberante’ Crise 2008
Disbursements for Aircraft Export Finance
IDB - Inter-American Development BankIBRD - The International Bank for Reconstruction and Development (World Bank)CAF - Corporación Andina de FomentoCDB - China Development Bank(*) Converted by the quote currency against the US dollar 31/12/2015 (**) Unlike other institutions, 12-month fiscal year ends June 30th
Capitalization - Shareholders' Equity / Total AssetsROA - Return On average AssetsROE - Return On average Equity
US$ million BNDES* IDB IBRD** CAF China DB*Dec 31st, 2015 Dec 31st, 2015 Jun 30th, 2015 Dec 31st, 2015 Dec 31st, 2015
Total Assets 236,019 111,139 343,225 32,470 159,058Shareholders' Equity 7,845 25,253 38,639 9,524 157,576Net Income 1,542 960 686 77 14,045Capitalization 3.33% 22.72% 11.26% 29.33% 99.07%ROA (%) 0.67% 0.86% 0.20% 0.24% 8.83%ROE (%) 15.37% 3.80% 1.78% 0.81% 8.91%Established 1952 1959 1945 1968 1994
BNDES vis-à-vis Multilateral Banks
BNDES Funding
Domestic Funding§ FAT – Workers’ Assistance Fund (Constitutional)§ PIS-PASEP Fund§ FI-FGTS§ BNDESPAR Bonds§ National Treasury
Foreign Funding§ Government Agencies and Multilateral Institutions§ Market Funding§ Bonds, Loans, Structured Notes (ABS)
Who can apply for BNDES´ Financing?
Legal Entities established
in Brazil
Brazilian Private
Individuals
• Companies: agro-business, industry, trade and services etc.
• Cooperatives or associations• NGOs, OSCIPs or Foundations
• Rural producer• Truckers• Micro-entrepeneur
• Municipalities • States• Federal
Brazilian Public
Management
Competitive export § to improve competitiveness of Brazilian products§ Emphasis on products with higher-aggregated value
Credit facilities§ lines of financing designed to facilitate exports
Support for small and medium-sized export companies § to increase the number of Brazilian exporters
Indirect operations aimed to small business§ operating in partnership with a network of accredited financial
institutions in Brazil and over 100 foreign banks
Goals
Financing for the production of goods earmarked for export,
linked to specific shipments, or to the increase of the
company’s total exports
Buyer or Supplier Credit: financing for the commercialization of goods and services in foreign countries
BNDES Exim
Pre-shipmentProduction in Brazil
Post-shipmentForeign Trading
Export Support - Credit Lines
17
25% 21% 28% 31% 28% 27%
5% 11%14%
28% 34% 36%22% 25%24%
24% 23% 24%33%
34%26%
15% 13% 11%13% 7% 5%2% 2% 3% 2% 2% 2%
0%10%20%30%40%50%60%70%80%90%
100%
2011 2012 2013 2014 2015 2016F
bankdebt capitalmarkets cash
exportcredit lessors(self-fund) taxequity
A participação das ECAs oscila, historicamente, em torno de 20% do total anual do mercado de finaciamento de jatos comerciais novos...
ECAs:
Main Sources of Airfinance
Post-shipment by Export Destinations
AfricaEurope and AsiaNorth AmericaSouth and Central America
In US$ billionConverted to US dollar on the disbursement dates.
COFIG
Ministries: . Industry, Foreign Trade and Services;. Planning, Development and Public
Management;. Finance (SAIN and STN);. Foreign Affairs;. Chief of Staff; and. Agriculture.
Financing
Council of Ministers
19
CAMEX
Operacional Committee
PROEX
Export CreditInsurance
Institutional Arrangement
What we are doing....
o Aircraft (D1)• Support Embraer on its transition for new generation of
commercial aircraft “E2” and the launch of its multipurposeaircraft KC390
• On-lending transactions (e.g., China Exim)• Securitization of liquid assets
o Services (D2)• Execution of new compliance terms• Disbursement resumption• New project analysis
o Goods (D3)• BNDES as its own “Agent Bank” (goal: over 100 new
transactions in 2017)• Exim Automático – network of accredited financial institutions
BNDES Challenges and future
o Domestic market• New operational policies • Convergence TJLP-Selic interest rates• Focus on long term financing solutions• Local content requirements• Other sources of funding
o Foreign market• BNDES Guarantee for short term transactions and foreign
investments in Brazil• Further BNDES underwriting risk on its balance sheet• Loan “4131” / FX and interest rate hedge solutions • On-lending transactions• Other sources of funding / Securitization