Development Bank of Minas Gerais (BDMG): Reference Point in Creation of Green Economy

The Development Bank of Minas Gerais (BDMG) was founded in 1962 and its main shareholder is the government of the State of Minas Gerais, Brazil.

With a portfolio of more than 22,000 public and private clients, BDMG is present in the main regional economic chains, from agriculture, industry and commerce to technological innovation and renewable energy.

Its CEO, Sergio Gusmão Suchodolski, is vice-president of the Brazilian Development Association and former director of the New Development Bank. BDMG’s activities are connected to the UN’s 2030 Agenda for Sustainable Development Goals, being one of the five Brazilian banking institutions which are signatories to the Global Compact.

This strategic north allows the bank to be a reference point in the financing of the green economy, and to work continuously in expanding its capacity of measuring the impact of the projects for society.

In 2019, BDMG offered R$1.3bn ($252m) in credit to companies of all sizes and municipalities, stimulating the creation of 22,600 jobs and the addition of R$974.6m ($189m) to the economy of Minas Gerais, the Brazilian state with the third-highest GDP.

With a regional performance and a global vision, BDMG is a partner of several multilateral development organisations, including IDB and EIB. In its focus, the constant search for the diversification of funding and attraction of resources aimed at the financing of sustainable development. In this context, and in line with the 2030 Agenda, the bank has steadily increased the availability of credit for initiatives related to clean energy, innovation and infrastructure, in addition to expanding specific programmes and lines for the valorisation of female entrepreneurship and for obtaining working capital by micro and small enterprises.

At the same time, BDMG seeks to incorporate the trends of digital transformation to modernise its business model. In 2012, it was the first Brazilian public bank to have a 100 percent digital platform for easy service, without bureaucracy to the micro and small entrepreneur. In 2020, these advantages were extended to the state’s municipalities, allowing greater agility in procedures of the contracted operations, aimed at sanitation works, renovation of public buildings (as health posts and schools), acquisition of machinery and equipment, urban mobility projects and energy efficiency.

Innovation is also present in BDMG through Hubble, which is a multisectoral hub based in the bank, the result of a partnership with LM Ventures and Olé Consignado Bank. Start-ups use technology intensively in an environment of exchange and connection: an opportunity for these entrepreneurs to grow, invest and bring new solutions, especially to the financial market.

Focused on promoting development for more than 30 years, BDMG Cultural Institute encourages development through art and culture. It promotes awards, and publishes notices that attract the participation of artists and projects that contribute to the strengthening of the culture of the state of Minas Gerais. In addition, it maintains an active programme in its art gallery. CSR is also integrated into the reality of BDMG. Its Employee Citizenship Institute (INDEC) technically and financially supports populations in situation of economic and social vulnerability. Projects are developed in areas of education, sports, culture, professionalisation, health and social assistance.

Learn more in its Sustainability Report: bdmg.mg.gov.br/report