PECULIARIDADES DO CRÉDITO RURAL NO CERRADO

The report examines rural credit in the Cerrado, noting that while the biome accounts for about one-third of Brazil's rural credit and agricultural production, financing is highly concentrated. Average contract values in the Cerrado are 181% higher than in other biomes, primarily benefiting large-scale soy and cattle producers. While there is a growing trend toward private funding sources like Agribusiness Credit Notes (LCA), public banks—specifically Banco do Brasil—continue to dominate distribution. The study highlights a significant gap in credit access for small and medium producers (Pronaf and Pronamp), arguing that improving this access is essential for increasing productivity and reducing deforestation pressures.

• Rural credit in the Cerrado is proportional to its agricultural output, with the biome representing approximately one-third of both the national rural credit volume and national agricultural production.
• Credit is significantly more concentrated in the Cerrado than in other Brazilian biomes; in the 2019/20 agricultural year, the average contract value was R$ 224,000, which is 181% higher than the average in other biomes.
• There is a marked disparity in credit access for small and medium producers. In 2019/20, the National Program for Strengthening Family Agriculture (Pronaf) accounted for only 4% of the credit volume in the Cerrado, compared to 22% in the rest of Brazil.
• The Cerrado has seen a shift toward private financing sources. Between 2002/03 and 2019/20, the share of Agribusiness Credit Notes (LCA) rose to 19% and Rural Savings - Free (Poupança Rural - Livres) rose to 15% of the total credit value.
• Public banks maintain a dominant position in credit distribution with low competition. Banco do Brasil was the primary credit provider in 72% of the biome's municipalities, managing 50% of the credit volume in 2019/20.
• Agricultural production in the Cerrado is heavily dominated by soy, which represented 43% of the total agricultural value in the biome in 2019, and 38% of the R$ 50 billion lent to agriculture in the biome in 2019/20.
• The Low Carbon Agriculture program (Programa ABC) has experienced significant growth in the Cerrado, with lending increasing from R$ 19 million in 2010/11 to R$ 1 billion in 2019/20.

APA

Souza, P., Intropidi, B., de Campos, G., Vogt, P., & Assunção, J. (2021). PECULIARIDADES DO CRÉDITO RURAL NO CERRADO. Climate Policy Initiative. https://www.climatepolicyinitiative.org/wp-content/uploads/2021/08/7-Peculiaridades-do-Credito-Rural-no-Cerrado.pdf

Chicago

Souza, Priscila, Barbara Intropidi, Gabriel de Campos, Pedro Vogt, and Juliano Assunção. PECULIARIDADES DO CRÉDITO RURAL NO CERRADO. Climate Policy Initiative, 2021. https://www.climatepolicyinitiative.org/wp-content/uploads/2021/08/7-Peculiaridades-do-Credito-Rural-no-Cerrado.pdf.

Wikipedia

{{cite report |last1=Souza |first1=Priscila |last2=Intropidi |first2=Barbara |last3=de Campos |first3=Gabriel |last4=Vogt |first4=Pedro |last5=Assunção |first5=Juliano |title=PECULIARIDADES DO CRÉDITO RURAL NO CERRADO |publisher=Climate Policy Initiative |date=August 2021 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2021/08/7-Peculiaridades-do-Credito-Rural-no-Cerrado.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{souza2021peculiaridades, author = {Souza, Priscila and Intropidi, Barbara and de Campos, Gabriel and Vogt, Pedro and Assunção, Juliano}, title = {{PECULIARIDADES DO CRÉDITO RURAL NO CERRADO}}, institution = {Climate Policy Initiative}, year = {2021}, month = aug, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2021/08/7-Peculiaridades-do-Credito-Rural-no-Cerrado.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }