US$744 million Prison PPP in Brazil Failed to Receive Any Bids

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US$744 million Prison PPP in Brazil Failed to Receive Any Bids

The public-private partnership (PPP) contract for the Blumenau prison complex, in the state of Santa Catarina, which called for investments of around BRL4 billion (US$744 million), failed to attract any bidders.

The bidding process for awarding the contract, originally set for October 13, 2025, was canceled due to the absence of any submissions. The Santa Catarina state government has remained silent on the reasons for the failed auction and has not indicated whether it plans to schedule a new tender date. Under the 30-year PPP agreement, the project called for an investment of R$254.6 million (US$47.3 million) in construction and equipment, with estimated operating costs totaling approximately R$3.7 billion (US$688.7 million) over the contract period. 

The project was structured by the state-run development bank BNDES and had the support of the Investment Partnerships Program (PPI) under the presidential chief of staff’s office and the Inter-American Development Bank (IDB).

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