CMN Resolution No. 4,894 — Extends Emergency Measures for Rural Credit Operations Due to Social Distancing

Resolution No. 4,894

CMN RESOLUTION NO. 4,894, OF FEBRUARY 26, 2021

Extends the emergency measures provided for in Resolution No. 4,810, of April 30, 2020, applicable to procedures related to the granting, control, and inspection of rural credit operations, as a result of the social distancing measures adopted to mitigate the impacts of the pandemic caused by Covid-19.

The Central Bank of Brazil, in accordance with Art. 9 of Law No. 4,595, of December 31, 1964, makes public that the National Monetary Council, in a session held on February 25, 2021, considering the provisions of Art. 4, items VI, of Law No. 4,595, of 1964, Arts. 4, 5, 10, item III, and 14 of Law No. 4,829, of November 5, 1965, and Art. 50, item II, of Law No. 8,171, of January 17, 1991,

RESOLVES:

Art. 1 For rural credit operations contracted between March 1, 2020, and June 30, 2021, the presentation of the registration in a notary public of the documentation proving the contractual relationship between the landowner and the tenant beneficiary of the rural credit, including the letter of consent, is waived, provided that the owner informs the financial institution, electronically, of the existence of said relationship.

Art. 2 The presentation of proof of application in the acquisition of inputs and payment of labor, if requested by the financier until June 30, 2021, may be carried out by the borrower until July 31, 2021.

Art. 3 For the purpose of proving the acquisition of vehicles, machinery, and equipment, resulting from disbursements made between March 1, 2020, and June 30, 2021, the delivery of documents may be carried out until July 31, 2021.

Art. 4 Exceptionally between April 30, 2020, and June 30, 2021, the granting of financing directed to bovine and buffalo farming is admitted without the presentation of the Animal Transit Guide (GTA) and the sanitary form, or equivalent document, which must be delivered to the financial institution until July 31, 2021.

Art. 5 Until June 30, 2021, on occasions when the inspection of the rural credit operation must be carried out, the financial institution may exceptionally refrain from verifying the application of resources, provided that:

I - the partial or total application of the resources of the operation cannot be proven through documentary analysis or remote sensing;

II - the partial or total application of the resources of the operation cannot be verified by the in-person method at a later date after the date referred to in this item; and

III - the absence of verification is based on an inspection report or other internal document of the financial institution, with the justifications and evidence that demonstrate the impossibility of inspection and the material impossibility of subsequent inspection.

Art. 6 Until June 30, 2021, the local inspection of operations previously inspected by remote sensing is waived.

Art. 7 Until June 30, 2021, for the extension and rescheduling of the repayment of credit operations intended for agricultural operating costs, the borrower is exempt from presenting to the financial institution proof that the product is stored, when it is not possible to send it electronically, being required to retain it for subsequent presentation when requested.

Art. 8 Until June 30, 2021, the simplified renewal of agricultural and livestock operating credit operations is admitted, even in cases where this mechanism is not expressly authorized in the respective contractual instrument, observed that:

I - prior to the renewal, the express consent of the borrower is necessary, by any means that allows subsequent proof, in which the simplified budget containing the activity for the new cycle, the financed value, and the disbursement schedule, according to the productive cycle, must be stated, making the appropriate registration in the System of Rural Credit and Proagro Operations (Sicor);

II - the renewal must be carried out through a contractual addendum to the original operation, maintaining the same conditions and guarantees presented therein;

III - in localities where notary offices are not operating regularly, the annotation of the contractual addendum or guarantees, when necessary, must be carried out as soon as possible;

IV - the provisions of this article also apply to operations contracted under the National Program for Support of Medium Rural Producers (Pronamp) and the National Program for Strengthening Family Agriculture (Pronaf), observing the specific requirements of these programs, where applicable;

V - this option does not apply to operations backed by own resources of the National Bank for Economic and Social Development (BNDES) or by resources of the Unemployment Insurance Fund in the transfers from BNDES to single cooperatives and central credit cooperatives accredited for application in the operating credit lines of Pronaf.

Art. 9 This Resolution enters into force on the date of its publication.

Roberto de Oliveira Campos Neto
President of the Central Bank of Brazil