Brazil: Govt Seen Considering US$10.7B for São Paulo Infrastructure

Officials from Brazil's finance ministry and national treasury are considering making some 17bn reais (US$10.7bn) in federal funding available for infrastructure works in the southeastern state of São Paulo, news service Agência Estado reported.

State governor Geraldo Alckman met with finance minister Guido Mantega on Friday (Jun 24) to request extending the state's debt ceiling, saying afterwards that he expects a response during the next two weeks.

"We discussed the possibility of extra financing, of which 70% should go toward urban mobility works such as a metro and train," Alckmin was quoted as saying.

Besides 30km of metro lines, work on the Tietê-Paraná waterway and basic sanitation projects are also being considered.

Government officials also discussed issues such as duties on imports, value added tax (ICMS) on interstate sales and the state participation fund, the report said.

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