Rural credit concentration in Brazil in 2017

Abstract

One of the main public policies for promoting and developing Brazilian agriculture is rural credit. This policy seeks to stimulate production and modernize the sector by applying financial resources for the purposes of costing, investment, industrialization and commercialization. However, historically, these resources have been unevenly concentrated throughout the national territory, favoring the South and Southeast regions, since the moment the rural credit policy was institutionalized. Observing this poor distribution, this study sought to measure the distribution of agricultural credit in relation to its productive response, through tabular analysis and the redundancy index for the major regions and their respective federative entities in 2017. It was concluded that credit continued to be concentrated in the South and Southeast regions, but when analyzing the productive counterpart, there was no concentration.