The establishment of a new council under the Critical Minerals Policy is creating market apprehension. The president of the ABPM warns that the regulatory landscape and interest rate policies are hindering investment in the sustainable mining sector.
The approval of the National Critical Minerals Policy has opened new horizons for Brazil’s mineral sector, but it has also unleashed a wave of uncertainty.
In an interview on the program “Mapa da Mina,” Luís Maurício Azevedo, president of the ABPM and CEO of Bravo Mining, highlighted that the institutional design of the new council stipulated by law has sparked immediate concern among investors seeking legal certainty in the country.
The debate gains relevance at a time when Brazil seeks to position itself as a strategic player in the global energy transition.
The regulation of the law thus emerges as the focal point for the future of mineral exploration and responsible extraction, fundamental elements for the supply chain of clean energy technologies.
Regulatory Challenges and the Capital Market
During his participation in the program, Luís Maurício Azevedo emphasized that the sector’s attention is now focused on the regulatory phase.
According to the executive, it is crucial to ensure that the new council acts in a way that fosters development, avoiding the creation of barriers that discourage foreign and domestic capital investment in long-term projects.
In addition to institutional issues, the executive pointed out the structural difficulties faced by the mining sector in Brazil, especially regarding financing.
For him, the current macroeconomic scenario is a significant impediment to the sector:
“The current interest rate level and the lack of incentives for higher-risk investments, such as mineral exploration, are blocking the attraction of new resources.”
Divergences and Prospects for Mining
Another highlight of the interview was the divergence in positions between the ABPM and Ibram regarding the developments of the final text approved by Congress.
These nuances reveal that the sector is still seeking consensus to navigate the governance and sustainability requirements expected by global markets.
The impact of these decisions transcends conventional mining and directly affects Brazil’s capacity to supply essential inputs for the green economy.
The success of this policy will depend on the government’s ability to balance the need for mineral sovereignty with the attractiveness required to enable risk investments, which are essential for the country’s sustainable progress.
