Obtaining funding for projects on competitive conditions has historically challenged telecommunications services providers, especially small providers (“Prestadoras de Pequeno Porte” or PPPs).

Facing this scenario, the Ministry of Communications (MCom), alongside the National Bank for Economic and Social Development (BNDES) and the Financier of Studies and Projects (FINEP), has been working to operationalize financing mechanisms using resources from the Fund for the Universalization of Telecommunications Services (FUST) and the Fund for the Technological Development of Telecommunications (FUNTTEL).

By 2025, BRL 2.2 billion in resources from these sectoral funds are expected to be made available to finance the expansion of telecommunications networks in the country. Added to these figures is BRL 1.16 billion already allocated from FUST to BNDES last year, totaling more than BRL 3.3 billion available in various funding modalities and targeted at companies of all sizes.

In addition, MCom is currently constructing a platform with data on regional internet providers to provide critical information for financial agents and facilitate the analysis and release processes to make funding resources available.


In the telecommunications sector, BNDES has the specific programs BNDES Finame FUNTTEL and FUST, BNDES Finem – Telecommunications, FUST BNDES and FUNTTEL BNDES.

BNDES Finame FUNTTEL assists telecommunications services providers and suppliers of specialized goods and services for the sector, while BNDES Finame FUST is aimed explicitly at micro, small or medium-sized internet providers. Both modalities focus on financing the acquisition of telecommunications equipment, optical fiber cables, or associated working capital, limited to 30% of the total financing amount.

The BNDES Finem – Telecomunicações program is aimed at investments in the universalization of broadband in Brazil and the implementation, expansion, and modernization of telecommunications networks. The minimum amount of financing is BRL 20 million for PPPs and BRL 40 million for other companies.

FUNTTEL BNDES aims to fund investments by the Brazilian telecommunications industry in innovation, expansion of production capacity, and acquisition of equipment developed or produced in the country’s plans. In turn, FUST BNDES finances investments to expand and improve the quality of networks and services in schools, cities, and rural areas. Both are aimed at funding starting from BRL 10 million.


FINEP is a public company linked to the Ministry of Science, Technology, and Innovation (MCTI) that aims to support projects and studies of interest to Brazil’s economic, social, scientific, and technological development.

FINEP offers FINEP 5G, using FUNTTEL resources, in two modalities. The first, called Research, Development and Innovation, focuses on developing technological solutions enhanced by adopting 5G technology. Special conditions apply to proponents’ projects with annual gross operating revenue of up to BRL 300 million, headquartered in the North, Northeast or Midwest Regions of Brazil or with investment in internal Research and Development equal to or greater than 10% of their Net Operating Revenue.

The second modality, called Networks, aims to implement the winners’ projects from the 5G bidding process in Brazil and install private 5G networks.

FINEP Aquisição Inovadora Telecom, on the other hand, is targeted at Brazilian companies of any size. It finances the acquisition of technologies developed by innovative national companies.

In addition, FINEP also has the product FINEP Telecom, which focuses on innovative activities in the sector. In this modality, companies with revenues of more than BRL 90 million will use the Direct Support to Innovation – FINEP Telecom, with special conditions, while those with revenues lower than the mentioned amount will receive resources within FINEP Inovacred Telecom.

Thus, we see that, although obtaining resources through funding has been a historical problem in the telecommunications sector in Brazil, especially for smaller providers recent MCom initiatives involving BNDES and FINEP offer a diversified portfolio of funding options, with different objects to support companies operating in the sector.

This represents a relevant opportunity, especially for smaller companies, which will be able to obtain funding under competitive conditions from these entities, receiving resources to work on expansion and innovation projects in their businesses.