• New project will grow the bank’s portfolio, focusing on the Amazon region.

WASHINGTON — IDB Invest is providing a $70 million loan to grow the portfolio of Brazil’s Banco Cooperativo Sicoob S.A. (Banco Sicoob) in sustainable agriculture and energy. The financing package includes funding from the Canadian Net Zero and Climate Resilience Accelerator.

The project will support growth in the Amazon region, in alignment with the IDB’s Amazonia Forever program, encouraging the adoption of environmentally smart and sustainable practices in agriculture. The financing also includes performance-based incentives linked to sustainability milestones, such as nature-related financial disclosures and inclusive finance strategies.

Brazil’s agribusiness sector drives 25% of GDP and nearly half of exports but is also a significant source of emissions due to land use and traditional practices. The country’s energy mix faces increasing risks, particularly from droughts. This project supports long-term economic competitiveness and sustainability by promoting renewable energy and improved agriculture, including nature-based solutions, particularly in the Amazon region.

In addition to financing, the project includes advisory services to strengthen Banco Sicoob’s capabilities in environmental and social management. These services will help strengthen the bank’s Environmental and Social Management System, improve environmental-risk analysis, and support the design of a value proposition for women entrepreneurs. The project also includes implementing an environmental and social action plan to further integrate sustainability practices in the bank’s operations.

About IDB Invest

IDB Invest is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of $21 billion in assets under management and over 394 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries. Visit our website: www.idbinvest.org/en.  

About Banco Cooperativo Sicoob S.A. (Banco Sicoob)

Sicoob is a cooperative financial institution that has more than 8.9 million members and is present in all Brazilian states, including the Federal District. It offers services such as checking accounts, credit, investments, cards, private pension plans, pre-purchase financing pools, insurance, title protest, and payment terminals, among other financial solutions. Sicoob is formed by 331 singular cooperatives, 14 central cooperatives, and Sicoob Cooperative Center (CCS), which is composed of a confederation, a cooperative bank, a processor and flag of cards, a pre-purchase financing-pool administrator, a closed, private pension-plan entity, an insurance company in the life and pensions business, and an institute focused on strategic social investment. Sicoob is the top-ranking financial institution in Brazil, with more than 4,600 branches. It is also the only financial institution in 400 counties.

About the Canadian Net Zero and Climate Resilience Accelerator

The Canadian Net Zero and Climate Resilience Accelerator is a fund administered by the IDB. Its purpose is to drive climate resilience and reduce greenhouse-gas emissions in Latin America and the Caribbean through new technologies, innovative business models, and nature-based solutions, while promoting gender equality, diversity, and inclusion.

About Amazonia Forever

Amazonia Forever is the IDB’s regional program that aims to protect biodiversity and accelerate sustainable development in three lines of action: expanding funding, boosting knowledge exchange, and facilitating regional coordination among the eight Amazonian countries. The program is based on five pillars: (i) Combating deforestation and strengthening environmental control and security in the context of national governments; (ii) Bioeconomy and creative economy, promoting alternative and sustainable economic activities; (iii) People, aiming at adequate access to quality education, healthcare, and employment; (iv) Sustainable cities and infrastructure and connectivity; and (v) Sustainable, low-carbon agriculture, livestock and forestry. In addition, the program focuses on promoting the inclusion of women, indigenous peoples, people of African descent and local communities; climate and forest conservation; and strengthening institutional capacities and the rule of law.