Brazil seeks US companies for infrastructure concessions

Brazil's planning minister Dyogo Oliveira is seeking US companies to participate in Brazil's upcoming infrastructure concessions, such as airports, highways and railways.

The minister made the comment during the first annual Brazil-US infrastructure development meeting in federal capital Brasília on Wednesday, where he met the US Ambassador to Brazil, Liliana Ayalde, and other US officials, government news service Agência Brasil reported.

"At present we don't have any American companies holding infrastructure concessions in Brazil," Oliveira was quoted as saying in the report, adding that the meeting is aimed at changing that situation.

Overall US investment in Brazil is currently around US$110bn (US$32.4bn). As such, the ministry wants to take advantage of this strong base and create a relevant infrastructure project portfolio in due time.

Some of the objectives to promote US investment in infrastructure are ironing out legal issues and creating well-planned financing mechanisms, the report read

This week's meeting was a practical way to identify opportunities in the sector and the priority for both countries is to create jobs, according to the US Ambassador.

Despite the political scenario, "our work here is very specific and targeted so let's focus on the job that has to be done," Ayalde said.

UPCOMING CONCESSIONS

Concessions are planned in Brazil for airports, highways, railways, port terminals, oil fields, electric power and basic water and sanitation works under the federal government's Crescer program.

The first tenders, which are expected to take place by 1Q17, include four airports, two port terminals and oil and energy projects. By the end of next year, tenders for highways, railways, waterworks and other oil and energy projects are also expected to be held.