Brazil announces $17 billion fund to drive defence and technology industries
By Guy Anderson
Brazil has launched a USD16.7 billion scheme to drive development in high-tech industries including defence and space, with an emphasis on industries developing military command and control technologies; satellites; and space propulsion systems.
The Inova Empresa (Company Innovation) plan - launched by President Dilma Rousseff on 14 March - includes a combination of state venture capital and subsidised loans.
The fund comprises USD609 million in economic subsidies for businesses; USD2.1 billion to fund partnerships between companies and research bodies; USD1.1 billion for government equity stakes in technology companies; and USD10.6 billion for loans that will offered at rates of between 2.5% and 5%.
As well as defence and space industries, the fund will be available to corporations active in health; IT; and environmental sustainability sectors.
The fund is the latest in a series of high-profile measures by Brazil to drive the capabilities and competiveness of high-tech sectors such as defence.
In 2012 Brazil activated Law 12.598, which allowed eligible national defence companies to benefit from substantial tax breaks of up to five years and export credit guarantees. The benefits are only available to companies majority owned by Brazilian individuals or organisations.191 of 397 words
- Philippine air chief says Italy will provide attack helicopters
- Germany axes Euro Hawk
- Boeing poised to begin flight-testing Advanced Super Hornet features
- The Ford-class aircraft carrier, the future US Navy: Enabling the distributed force
- Boeing unveils Phantom Badger
- Rheinmetall debuts Oerlikon Revolver Gun Mk 2
- US Army trains with SpotterRF's man-portable radar
- Al-Qusayr battle is critical for Syrian government
- Northrop Grumman tests B-2 anti-jamming satcomms system without USAF's preferred radio
- India fails to make progress with AW101 inquiry