FGV establishes partnership with National Treasury for free training of government officials

On March 4, FGV In Company, in partnership with FGV Cities and Banco do Brasil, launched the Executive MBA in Public-Private Partnerships and Sustainable Concessions – a project supported by the National Treasury Secretariat. This initiative is the first training program as part of the Finance Ministry’s efforts to help financial institutions support states and municipalities in public management and public-private partnerships, as provided for by Finance Ministry Ordinance 808 of 2023.

Scheduled to begin in the first half of 2024, the course will be free for public managers employed by state and municipal governments. The training for subnational government employees will be funded by the federal government’s 0.5% tax on credit operations, implemented by Banco do Brasil, using resources provided for in Finance Ministry Ordinance 808 and 2023 and National Treasury Secretariat Ordinance 1,478 of 2023. The aims is to promote the formation of a specialized technical team in the public sector in the field of PPPs and sustainable project concessions, through innovative training capable of reducing knowledge gaps in state and municipal public bodies.

According to the regulations, the granting of guarantees in credit operations contracted by states, the Federal District and municipalities is conditioned to a minimum counterpart from financial institutions, equivalent to 0.5% of the value of credit operations, to be applied in support of fiscal management improvement, professional training in fiscal management, and structuring of PPPs and concessions projects for subnational entities.

The course will have a total of 432 class hours and will be offered in a hybrid format, with two classes of up to 42 students each. The start is scheduled for the first half of 2024. The program organization, participant selection and faculty composition will be the responsibility of FGV.

Rogério Ceron, secretary of the National Treasury, reaffirms the importance of the initiative. “There is no way to consistently advance in new management models without the training of civil servants to work both in project structuring and in the management of these contracts. Therefore, the MBA in Sustainable PPPs is a milestone in strengthening public management and will create conditions for the diffusion of projects and innovations in infrastructure and public services,” he says.

Ciro Biderman, the director of FGV Cities, highlights the importance of the ordinance, addressing two of the main problems that prevent subnational entities from investing in innovative forms of procurement – financing guarantees and training of technical staff. “This opportunity is really good because we will be able to complete the cycle, with a training program that will allow subnational entities to be trained for what we are calling government 2.0,” he says.

Márcio Chiumento, general manager for government strategy at Banco do Brasil, says, “Being the financial institution partner in making training feasible reinforces BB’s leadership in acting on such important areas for the country’s development, such as infrastructure and sustainability. This is an initiative connected with BB’s strategic vision, enhancing development in various regions of the country.”

Innovative program

One of the challenges for public entities to design and manage disruptive public policies, especially those guided by the mission of meeting environmental purposes, is the shortage of trained technical staff to innovate.

With a program that combines real case analysis and simulations, the course will allow students to experience both the challenges and successes of contemporary PPPs. This practical experience is complemented by an interdisciplinary approach that integrates knowledge of economics, law, and public policies, encouraging innovative methods to address and solve complex public problems. At the end of the course, students will develop a sustainable PPP project to be implemented by the entity they represent.

“This practical approach ensures that learning is directly applicable in the planning and execution of innovative, inclusive, sustainable, and technically viable PPP projects,” highlights the course coordinator, Patrícia Mello.

Subjects addressing current public challenges are planned, such as renewable energy generation, forests, sustainable conservation areas and parks, sustainable reforestation and recovery of degraded areas, urban requalification, adaptation to climate change, sanitation, solid waste management, urban mobility, and infrastructure for sustainable supply/recharge, among other innovative projects in the environmental and climate change adaptation agenda.

For questions and general information about the course, email mbappp@fgv.br.