AGRICULTURAL CREDIT POLICY IN BRAZIL OBJECTIVES ND RESULTS

Paulo F.C. de Araujo

No 283719, 1977 AAEA-WAEA Joint Meeting, July 31-August 3, San Diego, California from American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association)

Abstract: A numlber of developing countries have stressed agricultural credit policies to achieve goals such as increasing output or accelerating adoption of new technology. It is frequently difficult, however, to evaluate the real effect of such policies because the amount of funds involved has been too small or their impact has been masked by the effects of other development policies. The Brazilian case is revealing because high amounts of credit have been channeled to agriculture, and credit policy stands out as a key component of agricultural policy. Thus, by evaluating the Brazilian experience, we gain insights into what other countries might expect if and when they assign credit such an important role in their development strategy. Furthermore, the Brazilian approach has relied almost exclusively on encouraging commericial banks to supply agricultural credit rather than setting up specialized agricultural credit institutions. Thus, the Brazilian case provides scree evidence into how well and um.er what conditions an existing banking system can service agricultural credit needs in a developing country.

Keywords: International; Development (search for similar items in EconPapers)
Pages: 37
Date: 1977-07
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Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea77:283719

DOI: 10.22004/ag.econ.283719

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