CMN Resolution No. 5,028 — Amends MCR 6-2 Sub-direction Percentages for Pronaf and Pronamp and Adjusts LCA (MCR 6-7) Compliance Conditions

Resolution No. 5,028

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

CMN RESOLUTION NO. 5,028, OF JUNE 29, 2022

Amends the percentages of the sub-directions of direct resources (MCR 6-2) destined for the contracting of operations within the scope of the National Program for Strengthening Family Agriculture (Pronaf) and the National Program for Supporting the Medium Rural Producer (Pronamp), institutes new weighting factors applicable to financing operations supported by Pronaf, and adjusts the conditions for compliance with the direction of resources raised through the issuance of Agro-business Credit Letters (MCR 6-7).

The Central Bank of Brazil, in accordance with Article 9 of Law No. 4,595, of December 31, 1964, makes it public that the National Monetary Council, in an extraordinary session held on June 29, 2022, considering the provisions of Article 4, item VI, of Law No. 4,595, of 1964, and Articles 4, 14, and 21 of Law No. 4,829, of November 5, 1965,

R E S O L V E D:

Article 1. Section 2 (Obligatory) of Chapter 6 (Resources) of the Manual of Rural Credit (MCR) shall enter into force with the following alterations:

“8 - As Sub-exigibility Pronamp, at least 35% (thirty-five percent) of the total resources of the exigibility must be maintained applied in financing operations:

a) supported by the National Program for Supporting the Medium Rural Producer (Pronamp);

b) contracted with small and medium rural producers, according to the classification established in this manual, respecting the maximum limit of 10% (ten percent) of the percentage referred to in the main text.”
(NR)

“10 - As Sub-exigibility Pronaf, at least 25% (twenty-five percent) of the total resources of the exigibility must be maintained applied in financing operations supported by the National Program for Strengthening Family Agriculture (Pronaf).” (NR)

“12 - For the purpose of compliance with Sub-exigibility Pronaf, the value corresponding to the daily average balance of financing operations supported by Pronaf, contracted from July 1, 2022, must be computed by multiplying them by the following weighting factors:

a) 1.57 (one and fifty-seven hundredths) for financing destined for the purposes listed in MCR 7-6, Table 1 “Financial Charges for Financing Supported by the National Program for Strengthening Family Agriculture (Pronaf)”, Sub-table “Financing Credit (MCR 10-4)”, items 1, 2, and 3, provided they are contracted with a fixed effective interest rate of up to 5% a.a. (five percent per year); and

b) 1.38 (one and thirty-eight hundredths) for financing destined for the purposes listed in MCR 7-6, Table 1 “Financial Charges for Financing Supported by the National Program for Strengthening Family Agriculture (Pronaf)”, Sub-table “Financing Credit (MCR 10-4)”, item 4, provided they are contracted with a fixed effective interest rate of up to 6% a.a. (six percent per year).” (NR)

Article 2. Section 7 (Agro-business Credit Letter – LCA) of Chapter 6 (Resources) of the MCR shall enter into force with the following alterations:

“7 - The resources calculated in accordance with item 2 must be applied at freely agreed rates, observing that:

a) at least 30% (thirty percent) must be applied in rural credit operations, observing the conditions established for operations with free resources, and, in the case of Price Guarantees for Producers Financing (FGPP), the conditions established in the regulation applicable to this financing line must be observed;

b) as an option, up to 70% (seventy percent) may be applied in:

I - acquisition of Rural Product Note (CPR) issued by a rural producer or agricultural production cooperative;

II - acquisition of Agro-business Credit Rights Certificate (CDCA) and Agro-business Receivables Certificate (CRA), provided that the credit rights linked are entirely originated from transactions in which the rural producer is a direct party;

III - acquisition of Agro-business Deposit Certificate (CDA) and Agro-business Warrant (WA), provided they have been issued in favor of a rural producer;

IV - quotas of funds guaranteeing credit operations with rural producers, by the value of the subscription, provided that the guaranteed credit operations are rural credit.” (NR)

Article 3. This Resolution enters into force on July 1, 2022.

Paulo Sérgio Neves de Souza
President of the Central Bank of Brazil, substitute