Another hurdle for Brazilian port reform

The Federal Court has temporarily prohibited the transfer of funds to Brazilian Infrastructure Projects (EBP), which has been mandated by the Ports Secretariat to put together tenders for more than 100 new concessions. EBP is comprised of eight commercial banks and the economic development bank BNDES.

The injunction against EBP was taken out by Congressman Augusto Coutinho, who argues that EBP was, itself, favoured in the selection process. The federal prosecutor at the Court of Audit also points out irregularities in the process and warns against use of EBP studies when drawing up terminal concession contracts.

Despite the setback, Ports Minister Antonio Silveira remains confident that bids will still be invited for concessions in the port of Santos and in the state of Pará by the end of the year.