Water down investment, top up returns – The pitfalls of financing Basic Sanitation in Brazil.
The Brazilian people are subsidising the privatisation of water resources that, before Bolsonaro’s sanitation law, were publicly owned. Large companies are using loans that benefit from federal tax incentives — theoretically intended for infrastructure investments — to finance privatisations. This is revealed in a new report from the Centre for International Corporate Tax Accountability and Research CICTAR and Sindae-BA, a sanitation union in Bahia, which closely examines BRK Ambiental, a private sanitation company controlled by the Canadian asset manager Brookfield. BRK is accumulating billions in debt, with only a fraction being allocated to investments.
Read the full text and download the CICTAR report here
