Resolution CMN No. 3702 — Amends Deadlines for Renegotiation of Rural Credit Operations under Law No. 11,775 of September 17, 2008

RESOLUTION NO. 003702

Amends the deadlines for the renegotiation of rural credit operations, within the scope of Law No. 11,775, of September 17, 2008.

The Central Bank of Brazil, in accordance with Article 9 of Law No. 4,595, of December 31, 1964, makes public that the National Monetary Council, in a session held on March 26, 2009, considering the provisions of Article 4, item VI, of Law No. 4,595, of 1964, Articles 4 and 14 of Law No. 4,829, of November 5, 1965, and Article 41 of Law No. 11,775, of September 17, 2008,

RESOLVES:

Article 1. For borrowers who have formally requested financial institutions to renegotiate their debts by December 12, 2008, the deadline to renegotiate debts and make the necessary payments, including cases of minimum amortization regarding installments scheduled for 2008, is extended to May 15, 2009, applying the provisions of this article to the following rural credit operations:

I - Investment operations, contracted until June 30, 2007, with resources channeled by the National Bank for Economic and Social Development (BNDES) and equalized by the National Treasury, or backed by resources from the Finame Agrícola Especial credit line, as provided in Article 2 of Resolution No. 3,575, of May 29, 2008;

II - Investment operations contracted under the Pronaf framework, as provided in Articles 15, 16, and 17 of Law No. 11,775, of September 17, 2008, as well as operations provided in Article 4 of Resolution No. 3,578, of May 29, 2008;

III - Working capital or investment operations, backed by resources from the Constitutional Funds (FNO, FNE, or FCO), as provided in Article 1 of Resolution No. 3,573, of May 29, 2008;

IV - Operations contracted under the Special Credit Line FAT Integrar and reclassified to the FCO, as provided in Article 46 of Law No. 11,775, of September 17, 2008.

§ 1. Financial agents will have until May 15, 2009, to formalize these operations.

§ 2. The other conditions provided for the renegotiation process referred to in this article remain in effect.

Article 2. Financial institutions are authorized to grant an additional payment deadline of up to May 15, 2009, for installments, due in the period from October 15, 2008, to May 14, 2009, for the operations referred to in Article 1 of this resolution, exclusively for borrowers who have adhered to the renegotiation process in a state of compliance and whose formalization and renegotiation processes have not yet been completed by the financial agent, allowing these operations to remain in a normal status until that date.

Article 3. Item III of Article 4 of Resolution No. 3,576, of May 29, 2008, as amended by Resolution No. 3,676, of January 29, 2009, shall be effective with the following wording:

"III - granting a deadline until March 31, 2009, for the formalization of debt renegotiation." (NR)

Article 4. Paragraph 1 of Article 2 of Resolution No. 3,575, of 2008, as amended by Resolution No. 3,676, of January 29, 2009, shall be effective with the following wording:

"§ 1. In the States of Rio Grande do Sul (RS) and Mato Grosso (MT) and in the Municipalities of the States of Santa Catarina (SC), Paraná (PR), São Paulo (SP), and Mato Grosso do Sul (MS) that have declared a state of emergency or public calamity in 2004 and 2005, due to drought, the case-by-case analysis of the borrower's proof of inability to pay is waived; renegotiations may reach a limit of up to 60% (sixty percent) of the balance of investment operations, in each financial institution in these States, observing that the additional payment deadline provided in item II may be extended to up to 5 (five) years;" (NR)

Article 5. Paragraph 4 of Article 4 of Resolution No. 3,576, of 2008, as amended by Resolution No. 3,676, of 2009, shall be effective with the following wording:

"§ 4. The extension of the deadline for the operations referred to in the caput, except for operations contracted under the FAT Giro Rural Program, may be up to four years when referring to financing for enterprises located in the States of Rio Grande do Sul, Mato Grosso, and Goiás, or in Municipalities of the States of Mato Grosso do Sul, Paraná, São Paulo, and Santa Catarina that have declared a state of public calamity or emergency, due to drought occurring in 2004 and 2005, duly recognized by the Federal Government." (NR)

Article 6. Paragraph 4 of Article 4 of Resolution No. 3,578, of 2008, as amended by Resolution No. 3,676, of 2009, shall be effective with the following wording:

"§ 4. In the States of Rio Grande do Sul, Mato Grosso, and Goiás and in the Municipalities of the States of Santa Catarina, Paraná, São Paulo, and Mato Grosso do Sul that have declared a state of emergency or public calamity in 2004 and 2005, due to drought, the requirement to prove case-by-case the borrower's inability to pay is waived; renegotiations may reach a limit of 60% (sixty percent) of the number of investment operations referred to in this article, in each financial institution in these States, observing that this percentage does not integrate the limit of 10% (ten percent) provided in the caput, and that the additional payment deadline provided in the final part of item III of this article may be extended to up to five years." (NR)

Article 7. The letters "c" and "o" of item 1, of section 19, of chapter 10 of the Rural Credit Manual (MCR), shall be effective with the following wording:

"1. ..................................................
.......................................................
c) for members to access the credit line, cooperatives must present, by June 30, 2009:
.......................................................
o) credit operations referring to the 2003/2004, 2004/2005, and 2005/2006 harvests may be settled with the discounts provided for the respective groups and harvests of contracting established in Paragraph 1 of Article 14 of Law No. 11,775, of 9/17/2008, provided that the settlement of the operation is carried out by July 30, 2009; .................................................."(NR)

Article 8. This resolution enters into force on the date of its publication.

Article 9. Resolution No. 3,676, of 2009, is revoked.

Brasília, March 26, 2009.

Henrique de Campos Meirelles
President