Landscape of Climate Finance for Land Use in Brazil: Agricultural Risk Management

This report analyzes climate finance for agricultural risk management in Brazil from 2015 to 2020, detailing the roles of public and private funding in enhancing agricultural resilience against climate events such as droughts and excessive rains.

• Between 2015 and 2020, agricultural risk management instruments in Brazil received an average of US$ 1.0 billion per year in climate finance. These instruments serve as the country's primary mechanism for climate adaptation by reducing vulnerability to production losses caused by climate events.
• Private sources provided approximately 60% of the climate finance for agricultural risk management, averaging US$ 647 million per year. This total includes US$ 500 million per year from premiums paid by producers for rural insurance and US$ 146 million per year for joining PROAGRO.
• Public finance for these instruments averaged US$ 408 million per year. This funding was distributed across three main programs: PROAGRO (US$ 157 million/year), the PSR (US$ 124 million/year), and Garantia-Safra (US$ 126 million/year).
• The report identifies several key public policies for risk management: the PSR, managed by the Ministry of Agriculture and Livestock to subsidize rural insurance; PROAGRO, which indemnifies producers for operational costs and exonerates them from rural credit obligations; and Garantia-Safra, which provides conditional benefits to family farmers in the semi-arid region who suffer crop losses.
• Effective agricultural risk management is critical because inadequate instruments can lead to underinvestment in crops and reduced production efficiency, which in turn increases pressure on forests and negatively impacts land use.

APA

Climate Policy Initiative (2023). Landscape of Climate Finance for Land Use in Brazil: Agricultural Risk Management. https://www.climatepolicyinitiative.org/landscape-of-climate-finance-for-land-use-in-brazil-agricultural-risk-management/

Chicago

Climate Policy Initiative. Landscape of Climate Finance for Land Use in Brazil: Agricultural Risk Management. 2023. https://www.climatepolicyinitiative.org/landscape-of-climate-finance-for-land-use-in-brazil-agricultural-risk-management/.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=Landscape of Climate Finance for Land Use in Brazil: Agricultural Risk Management |date=11 September 2023 |url=https://www.climatepolicyinitiative.org/landscape-of-climate-finance-for-land-use-in-brazil-agricultural-risk-management/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2023landscape, author = {{Climate Policy Initiative}}, title = {{Landscape of Climate Finance for Land Use in Brazil: Agricultural Risk Management}}, institution = {Climate Policy Initiative}, year = {2023}, month = sep, url = {https://www.climatepolicyinitiative.org/landscape-of-climate-finance-for-land-use-in-brazil-agricultural-risk-management/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }