Brazil Boosts BNDES Lending Capacity by $20.7 Billion

April 30 (Bloomberg) -- Brazil’s state development bank will have an additional 36 billion reais ($20.7 billion) to lend under a plan announced by the Treasury today.
Brazil’s Treasury will exchange 1.3 billion reais of shares it owns in Centrais Eletricas Brasileiras SA, a state-controlled power utility, for shares in state-controlled Banco do Brasil SA owned by development bank known as BNDES, said Charles Guedes, a Treasury official. The Treasury will also transfer to the bank a credit of 2.7 billion reais owed to it by Eletrobras, as Latin America’s biggest utility is known.
The two measures will boost capital levels at the development bank, giving it more room to make loans. BNDES can include the Eletrobras shares as part of its capital, while rules didn’t allow shares in Banco do Brasil to be counted as capital.

Brazil Trades A-Rated as Growth Makes Debt Safer

April 30 (Bloomberg) -- Brazil’s credit rating, raised to investment grade two years ago, is poised to increase as the economy grows at the fastest pace since 2007, trading in credit- default swaps shows. The cost to protect Brazil bonds, ranked BBB- by Standard & Poor’s, from default for five years fell seven basis points this month to 123 basis points, or 1.23 percentage points, according to data compiled by CMA DataVision. In Europe, where Greece’s spreading debt crisis led to downgrades this week, swaps on Portugal almost doubled this month to 2.78 points, even though its debt is rated A-, three levels higher than Brazil.

Eletrobras May Swap $2.7 Billion of Debt for Shares

April 29 (Bloomberg) -- Centrais Eletricas Brasileiras SA, Latin America’s largest utility, is seeking to convert 4.7 billion reais ($2.7 billion) of liabilities to the Brazil’s government into shares, the finance chief said.

Rates Rise As Brazil Sells BRL408M Inflation-Indexed NTN-Bs - WSJ.com

RIO DE JANEIRO (Dow Jones)--The Brazilian Treasury sold 408 million Brazilian reals ($231 million) worth of inflation-indexed NTN-B bonds at an auction Tuesday, with interest rates rising on emerging-market volatility and expectations for higher local interest rates.
The government sold slightly more than 80% of the BRL500 million worth of bonds on offer Tuesday. The bonds came in three maturities between 2013 and 2020.
The government sold the bonds at average interest rates ranging from 6.50% to 6.75%.

Brazil Federal Debt Stable In March At BRL1.495 Trillion-Govt

BRASILIA (Dow Jones)--Brazil's total federal debt load remained stable in March at 1.495 trillion Brazilian reals ($857 billion) under the contrasting influence during the period of debt amortization and interest accrual, the government reported Tuesday.

Brazil March Tax Revenue BRL59.42B, Up 6.1% Vs 2009

BRASILIA (Dow Jones)--Reflecting the continuation of a local economic recovery, Brazilian federal tax revenue rose in March to a record level for the month, the federal tax department reported Tuesday.

Brazil’s Mid-Month Inflation Rises to 11-Month High

April 20 (Bloomberg) -- Brazil’s mid-month inflation accelerated to a 11-month high in April, reinforcing speculation the central bank next week will raise interest rates for the first time since 2008 to keep prices in check.

Brazil Raises $787.5M From Overseas Bonds Issue

SAO PAULO (Dow Jones)--The Brazilian government, through National Treasury, said Friday that it raised a total of $787.5 million from an issue of dollar-denominated sovereign global bond due January 2021, more than the $750 million previously announced.

The increase in the final amount was prompted by an extra offer of bonds of $37.5 million to Asian investors, the government said.  The bonds were issued at 115.6 basis points over Treasurys to yield 5% a year.

China, Brazil sign deals at shortened BRIC summit

* Hu Jintao shortened Latin America trip after China quake

* BRIC summit moved forward to Thursday

* China to invest in Brazil steel plant, oil sector (Adds Lula quote, Iran, details)

By Raymond Colitt and Emma Graham-Harrison

BRASILIA, April 15 (Reuters) - China and Brazil bolstered their growing ties with trade and investment agreements on Thursday before a summit of the world's top four emerging markets that was cut back after China's leader decided to return home to deal with a major earthquake.

Brazil to pump more cash into Eletrobras

NEW YORK, April 6 (Reuters) - Brazil's government will replenish the capital base of Eletrobras, the country's largest power holding company, this year as part of a plan to boost transparency and lure investment into electricity, O Estado de S. Paulo said on Tuesday, citing Treasury Secretary Arno Augustin.

Under the program, Eletrobras would absorb previously autonomous regional units, Augustin told Estado. The company will start paying about $6 billion in dividends overdue for more than 30 years in June, a move seen by most analysts as an important step toward more transparent management.

The dividend issue 'put hurdles on any discussion over the Eletrobras capitalization, but that step has been cleared and the capitalization will take place this year,' Augustin said in the interview.