According to criteria laid down by law, part of the AFRMM’s amounts is handed to the Brazilian Shipping Companies by depositing in escrow accounts. These values can, among other purposes, to be used in the acquisition, repair or modernization of vessels, thus supporting the development of the merchant marine and of the Brazilian naval construction and repair industry.
The AFRMM’s amount received for the Companies will be directly deposited in their escrow account, which will be operated through the FMM financial agent, in cases as following:
- Acquisition of new vessels for their own use, built in Brazilian shipyards;
- Jumborization, conversion, modernization, repair or docking of their own vessels, including purchase and installation of necessary equipment, when performed by a Brazilian shipyard;
- Payment of funding installment (principal and interest) granted by FMM funds;
- Payment of funding installments (principal and interest) granted by financial agent, with funds from other sources;
- Payment of funding installments (principal and interest) granted by FINAME (Special Agency for Industrial Financing) and PAI (Integrated Amazon Program)
- For use by affiliate, subsidiary or parent company.
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