SÃO PAULO, BRAZIL — Cargill has partnered with Banco de Brasil to launch the first “ESG Time Deposit” in Latin America. The $240 million time deposit will be used to finance projects in Brazil that promote sustainable development.
All projects meet the eligibility criteria of the Sustainable Finance Framework of Banco do Brasil, which is an agribusiness lender that controls approximately 60% of Brazil’s total farm loans.
“The resources will be applied in projects of environmental management and natural resources, clean transport, renewable energy, low-carbon agriculture, affordable housing, among others connected with Cargill’s areas of operation and contributing to one or more of the Sustainable Development Goals of the UN,” Cargill said.
Cargill said the partnership is in line with its commitment to achieve an even more transparent and sustainable production chain.
Last year, Cargill selected a series of projects with the aim of achieving the recovery of 100,000 hectares of degraded areas in Brazil within a period of up to five years. Other projects in place at Cargill include programs to optimize the use of water, reduce greenhouse gas emissions and promote the use of biomass to generate energy in its plants.