Lei nº 10.186, de 12 de fevereiro de 2001 (conversão da Medida Provisória nº 2.124-18, de 2001) (Law No. 10,186 of 12 February 2001 on PRONAF financing contracts and settlement/agrarian-reform project financing)

English translation of the Portuguese text from planalto.gov.br (the Portuguese text is the official one). Retrieved 2026-10-26.

Presidency of the Republic

Civil House

Subchief for Legal Affairs

LAW No. 10.186, OF 12 FEBRUARY 2001.

Conversion of Provisional Measure No. 2.124-18, of 2001

Provides for the execution of financing contracts under the Program for the Strengthening of Family Agriculture - PRONAF, and for projects for the structuring of settlers and colonists in the official settlement, colonization and agrarian reform programs approved by the National Institute for Colonization and Agrarian Reform - INCRA, as well as for the beneficiaries of the Land and Agrarian Reform Fund - Banco da Terra, with risk for the National Treasury or for the Constitutional Funds of the North, Northeast and Central-West Regions, and makes other provisions.

I hereby make known that the PRESIDENT OF THE REPUBLIC adopted Provisional Measure No. 2.124-18, of 2001, which the National Congress approved, and I, Antonio Carlos Magalhães, President, for the purposes of the provisions of the sole paragraph of art. 62 of the Federal Constitution, enact the following Law:

Art. 1 o Art. 7 o of Law No. 9.126, of 10 November 1995, shall henceforth be in force with the following wording:

"Art. 7 o

The administering banks shall apply ten percent of the resources of the Constitutional Financing Funds of the North, Northeast and Central-West Regions, for financing to settlers and colonists in the official settlement, colonization and agrarian reform programs approved by the National Institute for Colonization and Agrarian Reform - INCRA, as well as to beneficiaries of the Land and Agrarian Reform Fund - Banco da Terra, established by Complementary Law No. 93, of 4 February 1998.

§ 1 o The financings granted in the form of this article shall have the financial charges adjusted so as not to exceed the limit of twelve percent per year and reducers of up to fifty percent on the installments of amortization of the principal and on the financial charges, during the entire term of the operation, as deliberated by the National Monetary Council.

§ 2 o The financing contracts for projects of initial structuring of the settlers, colonists or beneficiaries of Banco da Terra, referred to in the caput, not yet benefited with credit directed exclusively to that category of farmers, shall be executed by federal official banks with risk for the respective Constitutional Fund or for Banco da Terra in the case of its beneficiaries, observing the conditions defined by the National Monetary Council for such credit operations.

§ 3 o The provisions of the previous paragraph apply to the financing contracts for projects of complementary structuring of those settlers, colonists or beneficiaries of Banco da Terra, already contemplated with credit of the kind, whose financeable value is limited to the difference between the current outstanding balance of the operation and the ceiling in force for such credit operations, as deliberated by the National Monetary Council.

§ 4 o The financial agents shall present to the National Council for Sustainable Rural Development, part of the structure of the Ministry of Agrarian Development, statements of the amounts that may be charged to the Constitutional Funds, in accordance with §§ 2 o and 3 o of this article." (NR)

Art. 2 o The financings of the Program for the Strengthening of Family Agriculture - PRONAF and of projects for the structuring of settlers and colonists in the official programs, approved by the National Institute for Colonization and Agrarian Reform - INCRA, of settlement, colonization and agrarian reform, may be granted with risk for the National Treasury, except in the cases covered by art. 7 o of Law No. 9.126, of 1995, with the wording given by this Law.

§ 1 o For the purposes of the provisions of the caput, the credit operations shall be carried out by federal official banks and in accordance with the conditions established by the National Monetary Council.

§ 2 o The Ministry of Finance, through the Federal Control Secretariat, shall verify the accuracy of the amounts that are charged to the National Treasury in accordance with this article, and may request the participation of other bodies and entities of the Federal Public Administration.

§ 3 o If inaccuracy is verified in the amounts referred to in the previous paragraph, the Union is authorized to promote, through the Central Bank of Brazil, the automatic debit of the calculated difference to the "Bank Reserves" account of the financial agent, with immediate transfer to the National Treasury.

§ 4 o The financial agents shall present to the National Council for Sustainable Rural Development, part of the structure of the Ministry of Agrarian Development, statements of the amounts that may be charged to the National Treasury according to this article.

Art. 3 o The Union is authorized, through a federal financial institution as its agent, observing the existing budgetary allocation, to contract credit operations directly with the farmers referred to in art. 2 o of this Law without the requirement of other guarantees than the personal obligation of the debtor.

§ 1 o The provisions of this article apply to operations of the same kind contracted with resources of the Constitutional Funds, referred to in § 2 o of art. 7 o of Law No. 9.126, of 1995, with the wording given by this Law.

§ 2 o The limits and conditions of the credit operations, including financial charges, shall be set by the National Monetary Council.

§ 3 o In the agricultural period beginning in July 2000 and ending in June 2001, the amount of the contracts referred to in the caput shall not exceed the limit of R$ 452,000,000.00 (four hundred and fifty-two million reais), whose distribution among the farmers referred to therein shall be defined by the Ministry of Agrarian Development, being:

I - R$ 252,000,000.00 (two hundred and fifty-two million reais), in fiscal year 2000; and

II - R$ 200,000,000.00 (two hundred million reais), in fiscal year 2001.

Art. 4 The credit operations intended for investments in the improvement, processing or industrialization of agricultural products, when the interested party qualifies as a beneficiary of the financing lines aimed at family farming, as defined by the National Monetary Council, are classified as rural credit for all purposes.

Sole paragraph. Also eligible for financing, according to the deliberation and regulation of the National Monetary Council, are the costing needs of the improvement and industrialization activities referred to in the caput.

(Included by Provisional Measure No. 432, of 2008).

Sole paragraph. Also eligible for financing, according to the deliberation and regulation of the National Monetary Council, are the costing needs of the improvement and industrialization activities referred to in the

caput of this article. (Text given by Law No. 11,775, of 2008)

Art. 5 The National Monetary Council may authorize extensions and compositions of debts arising from rural credit operations, establishing the conditions to be fulfilled for this purpose.

Art. 6 The financings with resources from the Coffee Economy Defense Fund, referred to in art. 7 of Decree-Law No. 2,295, of 21 November 1986, shall be granted according to conditions defined by the National Monetary Council.

Sole paragraph. The National Monetary Council may authorize extensions and compositions of debts related to the financings referred to in the caput, establishing the conditions to be fulfilled for this purpose.

Art. 7 Art. 2 of Law No. 9,138, of 29 November 1995, amended by Law No. 9,848, of 26 October 1999, shall come into force with the following wording:

(Repealed by Provisional Measure No. 2,168-40, of 24 August 2001)

"Art. 2 For rural credit operations contracted from the publication of this Law and until 31 July 2001, the provisions of § 2 of art. 16 of Law No. 8,880, of 27 May 1994, shall not apply." (NR)

Art. 8 Art. 4 of Law No. 9,866, of 9 November 1999, shall come into force with the addition of the following paragraphs, transforming the current sole paragraph into § 1:

"§ 2 The National Treasury is authorized to update the amounts owed to financial institutions as reimbursement for the rebate in the interest rate of up to two percentage points per year, referred to in art. 2 of this Law, using the variation of the General Market Price Index - IGP-M, published by the Getúlio Vargas Foundation, or another that may replace it.

§ 3 In the case of reimbursement made in excess, as a result of an amount improperly informed by the financial institution, the portion to be returned by it must be updated based on the variation of the IGP-M verified from the date of reimbursement to the date of return to the National Treasury, plus a fine of two percent." (NR)

Art. 9 The acts practiced based on Provisional Measure No. 2,124-17, of 27 December 2000, are validated.

Art. 10. This Law enters into force on the date of its publication.

National Congress, on 12 February 2001; 180th of Independence and 113th of the Republic

Senator ANTONIO CARLOS MAGALHÃES President

This text does not replace the one published in the DOU of 14.2.2001

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