Half of Brazilian Farmers Are Having a Hard Time Repaying Their Loans

A study released today by the Brazilian Confederation of Agriculture and Livestock (CNA) affirms that the incomes of half the farmers are entangled with repaying loans obtained to cover operational expenses.

The study, which was conducted in May, is based on interviews with 2,298 farmers from around the country to gauge the dimensions of the rural credit crisis.


According to the study, 10% of the interviewees have more than 60% of their gross income tied up in loan payments. Only 11% were successful in renegotiating their debts with banks on loans to cover operational expenses.


Another 12% who attempted to renegotiate their debts on loans for investment purposes obtained extensions of the debt repayment period.


The study also found that 49.2% of the farmers tried to obtain loans for operational expenses in the most recent harvest, but only 8% were able to get all the financing they needed at an 8.75% annual interest rate. The rest were forced to accept loans at higher interest rates.


ABr

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

With Several Differences with Bolivia Lula Will Skip Morales Inauguration

Luiz Inácio Lula da Silva, the president of Brazil, will not be participating this ...

According to the Music

Since the beginning of the twentieth century Brazilian popular music has reflected the social ...

Former Brazilian President Fernando Henrique Cardoso

Former Brazil President Says Country Lost Its Leadership

Latin America has never been so divided, Mercosur is but an illusion of integration ...

Brazil Finance Minister Held Hostage and Robbed of All His Money

Brazil's Finance Minister, Guido Mantega, was taken hostage for several hours while visiting a ...

Brazil: Ten Years After Landless Massacre Gunmen Still Have the Last Word

On 17 April 1996, military police began clearing landless protesters from the PA-150 highway ...

Brazilian Newspaper Sues US Government Over “Return to Sender” Home Raids

New Jersey-based Brazilian newspaper Brazilian Voice and the Seton Hall Law School's Center for ...

Brazil Starts Barring Cheap Chinese Goods

On Wednesday, June 2, Brazil’s Ministry of Development, Industry, and Foreign Trade will hold ...

Wow!

By Brazzil Magazine The lilting Portuguese language is also most attractive and almost as ...

Brazil’s Oil Production: Nothing to Call Home About

Petrobras reports that total gas and oil production rose to an average 2,075,000 barrels ...