Mapa publishes a clarification note on the suspension of the operation of credit lines under the 2022/23 Harvest Plan

The National Bank for Economic and Social Development (BNDES) announced this Wednesday (27/07) the temporary suspension of requests for financing rural investment credit operations for the 2022/2023 agricultural year. The announcement was made to financial institutions that operate with the bank's resources. 

The Agricultural Policy Secretariat of the Ministry of Agriculture, Livestock and Supply (Mapa) clarifies that the suspension adopted is in consistent with the methodology used by the National Treasury for the payment of interest rate equalization. According to the methodology, the average daily balance, the outstanding balance of financing, cannot exceed the limit of eligible resources made available to BNDES.

The Secretariat highlights that this type of interruption occurred last harvest, which reveals a strong demand, and financing requests were resumed shortly thereafter by the bank.

In this way, the suspended resources total only R$ 1,5 billion of the total R$ 19,8 billion made available to the BNDES, that is, there is no exhaustion of resources. This suspension may be reviewed by the bank as future calculations indicate that the equalizable limits have not been exceeded.

The temporary suspension occurred along the following lines:

• Investment Business Agricultural Credit

•  Adaptation to Climate Change and Low Carbon Emissions in Agriculture (ABC+ Program, exclusively for the lines ABC+ Recovery, ABC+ Organic, ABC+ Direct Planting, ABC+ Integration, ABC+ Forests, ABC+ Waste Management, ABC+ Palm Oil, ABC+ Bioinputs, ABC+ Soil Management );

• Construction and Expansion of Warehouses (PCA, exclusively for the line intended for operations with fixed interest rates of up to 8,5% p.a.);

• Financing for Irrigated Agriculture and Protected Cultivation (PROIRRIGA)

• Cooperative Development for Adding Value to Agricultural Production (PRODECOOP);

• Capitalization Program for Agricultural Cooperatives (PROCAP-AGRO Giro).

It is noteworthy that the 2022/23 Harvest Plan made R$115 billion available for this season with equalizable sources, of which the BNDES accounts for 17,2%. Resources at controlled interest total R$195,7 billion.