CMN Resolution No. 4,905 — Establishes Criteria for Rural Credit Debt Extension by Financial Institutions

This resolution amends the Rural Credit Manual (MCR) to authorize financial institutions to extend or renegotiate rural credit debts for borrowers demonstrating temporary repayment difficulties due to specific events. It sets specific limits for these extensions, including a 5% cap for FTRA land reform operations and an 8% cap for Funcafé coffee economy operations, while requiring technical information to verify income reduction and repayment capacity. The rules apply to general rural credit, land reform funds, coffee economy defense funds, Pronaf family farming programs, and BNDES-subsidized investment operations, with the resolution entering into force on May 1, 2021.

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Resolution No. 4,905

The current text of the MCR is available at the following electronic address: www3.bcb.gov.br/mcr.

CMN RESOLUTION NO. 4,905, OF APRIL 29, 2021

Amends Section 6 of Chapter 2 (Basic Conditions), Section 7 of Chapter 4 (Purposes and Special Instruments of Agricultural Policy), Section 2 of Chapter 9 (Fund for the Defense of the Coffee Economy - Funcafé), Section 1 of Chapter 10 (National Program for Strengthening Family Agriculture - Pronaf) and Section 1 of Chapter 11 (Programs with BNDES Resources) of the Rural Credit Manual (MCR), contained in the annexes to CMN Resolutions nos. 4,883, of December 23, 2020, 4,900, of March 25, 2021, and 4,889, of February 26, 2021, to establish criteria for the extension of rural credit debts by financial institutions.

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Lineage: In force

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Timeline

This document amends: Resolution CMN No. 4,900 — Consolidation of provisions in Chapters 4, 5, 7, and 12 of the Rural Credit Manual regarding special agricultural policy purposes and instruments, Resolution CMN No. 4,883 — Consolidation of Provisions in Chapters 1, 2 and 3 of the Rural Credit Manual (MCR) Regarding Principles, Basic Concepts and Operations Applicable to Rural Credit

Source: Banco Central do Brasil — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works