Brazil's Petrobras Offers Suppliers Support Amid Downturn

Brazilian national oil company Petrobras announced on November 24 it would be offering its suppliers financial services in order to support the sector during the downturn.

The company said it was prepared to provide working capital credit lines to almost 10,000 suppliers, and loans potentially worth up to reais 3bn ($551mn) each month, at interest rates that are lower than those offered by banks.

Petrobras said the programme would ensure the supply chain remains robust, which in turn would help the producer implement its projects.

"We are also holding conversations with financial institutions to evaluate solutions in which these agents can directly provide the most capital-intensive segments, such as the construction of platforms and subsea systems," CFO Andrea Marques de Almeida said in a statement.