BNDES will offer R$25 billion in credit for the agricultural sector in the 2022/2023 harvest

The National Bank for Economic and Social Development (BNDES) will offer R$25 billion in credit to the Brazilian agricultural sector for the Agricultural and Livestock Plan (PAP) 2022/2023, effective between July 1, 2022 and June 30, 2023.

The resources can be lent to rural producers, their cooperatives and companies in the sector to meet various needs, such as investment projects, acquisition of machinery and equipment, investments in sustainability, storage, innovation, modernization and funding. Of the total, R$18,6 billion will be allocated to investment and R$6,4 billion to funding.

In total, there are 11 federal agricultural programs operated by BNDES, 10 of which are destined for corporate agriculture (R$ 14,1 billion), with annual interest rates between 7% and 12,5% ​​and one for family farming – the Program National Strengthening of Family Agriculture (Pronaf), totaling R$ 5,7 billion and annual rates between 0,5% and 6%.

The sector also has the BNDES Rural Credit program, aimed at both family and business agriculture, which also makes possible the purposes set out in other federal agricultural programs. However, it has the characteristic of not counting on interest rate equalization by the National Treasury, allowing the BNDES to guarantee the supply of credit to the sector throughout the PAP, in the event of a possible shortage of resources from federal agricultural programs.

Credit is obtained through a wide network of financial agents accredited by the BNDES, including development agencies, car manufacturers' banks, credit unions, cooperative banks, private banks and public banks. The opening date for financing requests will be communicated to financial institutions in a timely manner.