Government Announces 3rd Auction of Eco Invest Brasil Program to Attract Investment. COP30 Brazil October 9, 2025

Illustrative Photo

Government Announces 3rd Auction of Eco Invest Brasil Program to Attract Investment.

Initiative Incorporates Exchange Rate Protection for Foreign Capital and Strengthens Startups and Innovative Companies Focused on Sustainability.

The Federal Government announced this Wednesday (October 8th) the third auction of the Eco Invest Brasil Program. The initiative, coordinated by the Ministries of Finance and Environment and Climate Change, aims to attract foreign equity investments focused on the ecological transition, with resources from the Climate Fund.

The model presents a unique feature that should boost the interest of international investors. In this edition, the Program introduces a currency hedge mechanism, offering investors a partial hedge against fluctuations in the real under more advantageous conditions than those typically practiced in the market. This new feature makes Eco Invest even more attractive to international investors, meeting a historic demand in the global financial market and increasing confidence in Brazil.

"This is an unprecedented initiative, not only in Brazil, but also among emerging countries. We are inaugurating a new model of sustainable financing, combining financial innovation and environmental commitment. By offering exchange rate protection to international investors, the Federal Government is taking an important step toward increasing confidence, attracting long-term capital, and promoting strategic projects that strengthen the country's sustainable development," emphasized Finance Minister Fernando Haddad.

In this auction, the Program's resources will be allocated to financial institutions to structure mechanisms to mitigate exchange rate risk and project performance risk, decisive factors in enabling long-term investments in the country. As in previous auctions, banks must commit to leveraging private capital, defining how much equity investment will be mobilized for the funds and projects supported.

"This initiative demonstrates how we can work together to strengthen the Ecological Transformation and decarbonization of the Brazilian economy, a clear sign of Brazil's leading role in this global agenda. By attracting foreign investment, we pave the way for projects that combine innovation, sustainability, and economic development," stated Marina Silva, Minister of Environment and Climate Change.

The resources raised by the auction will support technology-based companies and foster startups and expanding businesses that develop projects in the following areas:

Bioeconomy – such as superfoods, biohealth, and biofertilizers;

Energy transition – including SAF, green hydrogen, biogas, and other solutions; and

Circular economy – such as bioplastics, solid waste management, battery recycling, among others.

In addition to promoting innovative projects, the Program seeks to ensure the scalability of the technologies developed, strengthening the capacity for growth and replication of sustainable solutions in Brazil. At the same time, it promotes the competitive insertion and integration of the Brazilian market into global value chains, creating opportunities for national companies to connect with international markets and expand their economic and environmental impact.

"This auction, focused on attracting equity and currency hedging, is essential and reflects our partnership and innovation. We are working together to bring innovations to the table at COP30 in Belém. And based on this successful Eco Invest model, we launched the FX Edge program, a new global IDB platform aimed at reducing exchange rate volatility and expanding access to private capital in other countries," noted the President of the Inter-American Development Bank (IDB), Ilan Goldfajn.

Following the publication of the Ordinance, proposals from financial institutions must be submitted by November 19, 2025.

Eco Invest Brasil

The Eco Invest Brasil Program is jointly coordinated by the Ministries of Finance and Environment and Climate Change and is supported by the Inter-American Development Bank (IDB) and the Embassy of the United Kingdom in Brazil.

"The United Kingdom is proud to support Eco Invest Brasil, an initiative that reflects the country's commitment to innovation in sustainable finance and creating an environment conducive to long-term investment. This approach opens up new opportunities for cooperation between our countries and reinforces Brazil's role as a leader in the green agenda," said Stephanie Al-Qaq, UK Ambassador to Brazil.

The initiative is part of the Ministry of Finance's New Brazil – Ecological Transformation Plan, a strategy aimed at transitioning the Brazilian economy through the bioeconomy, green industry, and sustainable finance.

In previous editions, the program mobilized more than R$75 billion, of which R$46 billion will come from foreign investors. To date, more than R$4 billion has been disbursed to support projects such as the production of sustainable aviation fuel (SAF) and basic sanitation. The second edition of the auction, which focused on the recovery of degraded lands, raised funds to restore 1.4 million hectares, an area nine times larger than the city of São Paulo.

Published in Agencia Gov - Via Tesouro Nacional on October 8, 2025