A proposal in the House of Representatives is under consideration that require banks to monitor the results of technical and economic assistance to the rural producer in cases where the granting of credit is linked to this assistance.
According to information from Agencia Câmara News, the measure is provided for in Bill 9843/18, by André Amaral (Pros-PB), which amends the Rural Credit Law (Law 4,829 / 65) to include the requirement.
If approved, the proposed follow-up will be done by the local rural assistance and extension entity, by the service provider, by the professional contracted for the purpose or by an employee of the bank’s staff. The costs should be included in the rural finance contract.
The objective of André Amaral is to avoid the diversion of resources for technical assistance. “Several rural credit lines require, for the release of financing, the contracting of technical assistance. It happens that some farmers, because they are unaware of the importance of assistance, end up using resources for other purposes, such as the purchase of personal property and vehicles, “says the parliamentarian.
This text was translated by machine from Brazilian Portuguese.