Revamped growth acceleration program to get BRL 240 bi

Brazil’s new PAC—Growth Acceleration Program—slated to be unveiled this week by the government, should receive BRL 240 billion in public funds over the next four years. The fundamentals of the program were presented to the leaders of Congress Tuesday (Aug. 8) by chief of staff Rui Costa and Institutional Relations Minister Alexandre Padilha.

In addition to resources from the federal budget, the new PAC should have funding from state-owned companies and banks as well as the private enterprise through concessions and partnerships. According to Senator Cid Gomes, the total invested should reach BRL 1 trillion in four years, including investments by Petrobras.

“These major structuring investments have been proposed by the states, and the ministries have also discussed their programs. That’s the first stage of the PAC. Another round should take place in September, based on a call for proposals to be submitted by states and municipalities,” Gomer stated.

According to Senator Otto Alencar, who also attended the meeting, the initiative should start with unfinished projects. “Next, [the focus will be] the pleas of the governors and the ministries’ priority projects,” he said.

The main goals of the new PAC include boosting investment, ensuring economic, social, and urban infrastructure, improving competitiveness, and generating quality jobs. In addition to the traditional investments in infrastructure, transport, and energy, the third edition of the program includes new areas such as digital inclusion and connectivity, energy transition, science and technology, as well as the expansion of efforts around education and health.