Agrobanco: delinquency of loans delivered to large companies until 2017 is 99.26%

Agrobanco, a financial entity attached to the Ministry of Agrarian Development and Irrigation (Midagri), reported that, at the end of October 2021, the delinquency of small agricultural producers has decreased to 5.58%, well below the 11.88% registered last year.

Agrobanco’s new portfolio is made up of 17,623 small agricultural producers, with a balance of S / 176 million. Of this amount, 93.2% corresponds to the disbursements made this year; that is, it includes new loans whose maturities are in 2022 and 2023.

In addition, 59% of the balance of the new portfolio was destined for agricultural campaigns, while the remaining 41% was for livestock campaigns.

“We are aimed at promoting rural microfinance and promoting the financial inclusion of small agricultural producers, so we highlight their good credit performance, since they have been meeting their obligations despite adversities, such as the prices of inputs and weather factors. ”, Highlighted the chairman of the Agrobanco board of directors, César Quispe Luján.

Agrobanco: past due debts to retailers

From August 2018 to October 2021, Agrobanco’s overdue retail portfolio is made up of small agricultural producers who owe a total of S / 9.8 million. 51.3% of this amount was reprogrammed within the framework of the state of emergency due to COVID-19 in 2020.

Meanwhile, 48.2% of this portfolio includes small agricultural producers that maintain their payment schedule (not rescheduled or refinanced).

Agrobanco: loans to large companies in red

Regarding the loans that were given to large companies until January 2017, the delinquency ratio as of October 2021 is 99.26%. At the end of October 2021, said non-retail loan portfolio closed at S / 572 million. Of this amount, S / 473 million are in judicial collection.

Of this group of loans in judicial collection, 36 clients are to set the auction date of the assets given as collateral for the sum of S / 121 million. It is estimated that these auctions would be executed between 2021 and 2022.

“The figure could increase to the extent that the Judiciary fully reactivates its work,” warned the Agrobanco.

What is Agrobanco?

Agrobanco, created in 2001, is a state financial entity dedicated to granting loans aimed at the agricultural sector in order to achieve the sustained and permanent development of the sector.

Since December 2018, with the Strengthening Law No. 30893, Agrobanco is exclusively dedicated to financing small agricultural producers, who make up the bank’s new portfolio.