Menu
Home Even though it owes R$3,3 billion, Cuba wants Brazil to finance new investments in the Port of Mariel

Even though it owes R$3,3 billion, Cuba wants Brazil to finance new investments in the Port of Mariel

21 April 2024 10 gies: 52
To Share
Share on WhatsApp
Share on Facebook
Share on LinkedIn
Share on Telegram
Share on Twitter
Share on Email
Follow us on Google News

Despite the large investment, Around US$638 million financed by BNDES and construction carried out by Odebrecht, the port complex did not meet its expectations of becoming a key point in the Cuban economy

As the ten years since the beginning of its operations approach, the Special Zone of the Port of Mariel, in Cuba, faces a challenging scenario. According to Ana Teresa Igarza Martínez, general director of the area, approximately half of its 465 km² area remains empty, with only 44 companies operating at full capacity, out of a potential of more than one hundred. The hope of filling this void rests, in large part, on the support of Brazilian President Luiz Inácio Lula da Silva.

Designed to receive New Panamax type ships, the Port of Mariel, since its inauguration, has not received any vessel of this size. Despite the large investment, Around US$638 million financed by BNDES and construction carried out by Odebrecht, the port complex did not meet its expectations of becoming a key point in the Cuban economy.

Recommended articles

As reported by BNDES to BBC News Brasil, in September last year Cuba's current debt with the bank, including interest, reached US$520 million – the equivalent of more than R$2,5 billion. Updates this year, according to Poder360, the Cuban government's pending issues with BNDES projects accumulate US$671,7 million (R$3,3 billion).

Photo: Mariel Port Area, in photo from 2016

The Role of the Government: Alliance for Cuban economic recovery

With Lula in power, the Cuban government sees an opportunity to reinvigorate the Port of Mariel. Considering Lula as a “brother” and a fundamental ally, Cuba seeks to attract Brazilian investment to the Mariel development zone. This strategy is crucial to face the economic challenges facing the island, including the tightening of the American embargo and the impacts of the COVID-19 pandemic.

However, relations between Brazil and Cuba have faced turbulence in recent years, especially during the governments of Dilma Rousseff and Jair Bolsonaro. The National Bank for Economic and Social Development (BNDES) has not renewed loans to Cuba since the end of the Dilma government, and the Caribbean country went into default, owing more than US$520 million to the Brazilian bank.

Cuba: optimism in debt renegotiation and new BNDES loans

Despite these challenges, Martínez expresses optimism about the future of economic relations between the two countries. With Lula in the presidency, there is hope for a renegotiation of the Cuban debt with the BNDES and a new cycle of Brazilian investments in Cuba, especially in the Port of Mariel.

In the midst of one of the biggest economic crises since the 1959 revolution, Cuba looks to the Port of Mariel for a source of hope for its economic recovery. With Lula's support and the prospect of a debt renegotiation with BNDES, the Port of Mariel can play a crucial role in the future economic development of the Caribbean island.

10 works that BNDES financed in other countries

  1. Port of Mariel (Cuba)
  2. San Francisco Hydroelectric Plant (Ecuador)
  3. Manduriacu Hydroelectric Plant (Ecuador)
  4. Chaglla hydroelectric plant (Peru)
  5. Panama City Metro (Panama)
  6. Madden-Colón Highway (Panama)
  7. Chaco Aqueduct (Argentina)
  8. Burial of Ferrocarril Sarmiento (Argentina)
  9. Lines 3 and 4 of the Caracas Metro (Venezuela)
  10. Second bridge over the Orinoco River (Venezuela)

Apply
Notify
guest
2 Comments
Older
Last Most voted
Feedbacks
View all comments
Posts
Mais recentes
COMPARTILHAR
2
0
We would love your opinion on this subject, comment!x
()
x