Funding Sources

FAT is a special accounting and financial fund that, according to the Federal Constitution, must allocate 28% of its funds  to BNDES to finance economic development programs. FAT represents the Bank’s main source of funds.

The funds raised through this constitutional provision are identified as “Constitutional FAT” and are remunerated as follows: a) by the long-term interest rate (TJLP) for operations contracted by December 31, 2017; b) the long-term (TLP) (operations as of 2018); or c) international market interest rates for export financing. The funds not invested in credit operations are remunerated by the average market rate (Selic) less 0.09% p.a.

Although FAT resources may be requested by the Fund in case there is insufficient balance to pay mandatory expenses, the principal is not expected to be returned to the FAT. There is only the monthly payment of interest on non-invested funds and the semi-annual payment on invested funds. Due to these characteristics, the Constitutional FAT balance is considered as subordinated debt and part of it is included in the calculation of the BNDES’ Reference Equity. However, through CMN Resolution 4,679, of December 31, 2018, subsequently replaced by CMN Resolution 4,851, of August 27, 2020, the balance related to FAT accounted as Tier II Capital of the Reference Equity was limited to the amount recorded on June 30, 2018, with a schedule of gradual reduction of 10% per year, starting January 1, 2020, until its complete exclusion in 2029.

BNDES has free decision on the application of FAT resources, as long as it is directed to economic development programs, as determined by the Federal Constitution.

In addition to constitutional transfers, BNDES also raises FAT surplus funds in the form of special deposits, called “FAT Special Deposits”.  These funds are currently remunerated by the TLP, once disbursed to the final beneficiaries. The funds not yet disbursed will be remunerated by the market rate (Selic).  In this case, in addition to the remuneration, a monthly amortization is due.

The balance of FAT funds totalled BRL 484.9 billion on December 31, 2025 – BRL 481.4 billion as Constitutional FAT and BRL 3.5 billion as FAT Special Deposits. As of the end of 4Q25, BRL 28.9 billion was raised from Constitutional FAT.

On May 2020, there was a full transfer of resources from the PIS/PASEP Fund, in the amount of BRL 20.7 billion, to Caixa Econômica Federal, according to MP 946/20, of 04/07/2020, which determined the extinction of the PIS-PASEP Fund and the transfer of its resources to the Government Severance Fund (FGTS), as one of the Federal Government’s emergency measures during COVID-19 pandemic.

Since 2021, there has been a significant allocation of FAT resources to the new category of use of the fund’s resources, namely social security expenses, being BRL 9.81 billion in 2021, BRL 17.63 billion in 2022, BRL 20.1 billion in 2023, BRL 17.36 in 2024, and a expected BRL 17.03 billion in 2025.

Throughout 2023, the relevance of this type of outflow of resources from the FAT motivated discussions both within the scope of Codefat (Deliberative Council of the FAT) and at higher levels of the Federal Government, without, however, any changes or regulations for the new allocation of the fund resources.

BNDES continuously monitors the effects of possible reallocations on FAT transfers, whether due to regulatory changes or the possibility of amortizing the liability in the cases demanded by law. The most recent assessments do not indicate a relevant risk of deviations in the forecast for the inflow of resources from this source to BNDES.

For more information, see Notes 11.1 – 11.3 of the BNDES’ Financial Statements in BRGAAP.

Learn more about FAT.

As of December 31, 2025, obligations to the National Treasury totalled BRL 36.3 billion, equivalent to 3.9% of BNDES’ funding sources (4.4% as of 09/30/25). Of this amount, BRL 9.1 billion (25%) correspond to instruments eligible for core capital (Instrumentos Elegíveis a Capital Principal – IECP), which compose the Reference Equity and whose remuneration is linked to factors such as the existence of accounting profit and the payout amount of dividends to the shareholder. The remaining BRL 27.2 billion (75%) correspond to onlending operations.

Learn more about funding and investment of National Treasury funds.

For more information, see Notes 10.1.2 and 23.2.3 of  BNDES’s Financial Statements in BRGAAP.

BNDES has historically raised funds through government funds in the search for alternative sources of funds to support long-term investment projects.

On December 31, 2025, the total balance of the funds totaled BRL 135.8 billion.

Climate Fund

The Climate Fund is one of the instruments of Brazil’s National Policy on Climate Change and its purpose is to guarantee resources to support projects or studies to finance ventures that aim to mitigate climate change.

The balance of the fund as of December 31, 2025, was BRL 29.2 billion.

See more information about the Climate Fund here.

Marine’s Merchant Fund – Fundo de Marinha Mercante (FMM)

Intended to provide resources for the development of the National Merchant Navy, as well as, in addition, for the construction of auxiliary and hydrographic or oceanographic ships for the Brazilian Navy, aiming to meet the needs and safety of waterway transport.

On December 31, 2025, the amount of FMM resources managed by BNDES and investments in credit operations with BNDES risk reached BRL 20.3 billion.

For more information, see Note 13.1 of the BNDES’ Financial Statements in BRGAAP.

See more information about the FMM here

Social Fund

BNDES provided R$ 20 billion from the Social Fund, under Article 27 of Law No. 14,981 of September 20, 2024, aiming to cover operations contracted by beneficiaries who suffered material losses in areas affected by the extreme weather events that occurred in April and May 2024 in the state of Rio Grande do Sul.

As of September 30, 2025, the balance of the Social Fund amounted to BRL 18.2 billion.

For more information, see Notes 13.1 of the BNDES’ Financial Statements in BRGAAP.

Amazon Fund

On December 31, 2025, the total resources of the Amazon Fund, destined to finance projects to prevent, monitor and combat deforestation and promote the conservation and sustainable use of forests in the Amazon Biome, was BRL 6.8 billion.

See more information about the Amazon Fund here.

For more information, see Notes 13.1 of the BNDES’ Financial Statements in BRGAAP.

Universalization Fund for Telecommunications Services (FUST)

Aimed at promoting the expansion, use, and improvement of the quality of telecommunications networks and services, reducing regional inequalities, and encouraging the use and development of new connectivity technologies to foster economic and social development.

As of December 31, 2025, the amount of FUST resources available at BNDES reached BRL 4.7 billion.

Rio Doce Fund (Fundo do Rio Doce – FRDC)

The Rio Doce Fund, managed by BNDES, aims to receive resources for projects, actions and collective compensatory measures of a socioeconomic and socio-environmental nature under the management of the Federal Union resulting from the collapse of the Fundão dam, which occurred in the municipality of Mariana (MG), in November 2015.

In 2025, the FRDC received a contribution of BRL 5.5 billion. The balance of resources on December 31, 2025 was R$ 4.3 billion.

In addition to diversifying and complementing sources of funding, external funding makes it possible to dilute risks, encourage other Brazilian issuers and strengthen relationships with the international financial community.

Since 1953, BNDES has raised funds on the international capital market through bond issuances and, since 1972, through loans from multilateral agencies and other development finance institutions.

To fulfill its role as dealer, BNDES mediates repo operations, raising funds from a financial institution and passing them on to BACEN.

Funding from a financial institution is a securities sale operation with a repurchase commitment (liability). The application of the resource at BACEN is a security purchase operation with a resale commitment. The balance of repo operations on December 31, 2025 was BRL 34.1 billion.

BNDES Development Credit Letters (LCD)

The Development Credit Letters (LCD) were established by Law No. 14,937 of July 26, 2024, with the aim of expanding fundraising mechanisms for BNDES or for development banks authorized to operate by the Central Bank of Brazil.

In December 2024, BNDES began issuing these letters, with maturities of up to 5 years and a floating interest rate indexed to the DI rate.

As of December 31, 2025, the balance of funds stood at BRL 16.5 billion.

Agribusiness Credit Letters (LCA)

The Agribusiness Letters of Credit (LCA) were instituted through Law No. 11,076, of December 30, 2004, with the objective of expanding the supply of credit instruments to agribusiness.

BNDES returned to the domestic funding market in the first quarter of 2024, through a private offering to its business partners. It was the Bank’s first LCA issuance since 2016.

The balance of resources on December 31, 2025 was BRL 10.2 billion.

On December 31, 2025, shareholders equity totaled BRL 172 billions.

Shareholders’ Equity increased by R$ 13.6 billion over the year, mainly driven by adjusted net income of R$ 26.8 billion and the positive effect of mark‑to‑market adjustments of assets (equities and government securities) totaling R$ 1.9 billion. These effects were partially offset by dividend distributions of R$ 15.2 billion, comprising R$ 8.8 billion in supplemental dividends related to fiscal year 2024 and R$ 6.4 billion in mandatory minimum dividends for 2025.

For more information, see Note 18 of the BNDES’s Financial Statements in BRGAAP.