Published and draft legislation - Colombia

Amendments to the financial conditions of agricultural and rural credit

Regulatory Circular P-1, January 2, 2019 FINAGRO

As a result of the rise in the 2019 minimum monthly wage (MMW) in Colombia, the Agricultural Sector Financing Fund (FINAGRO), the body promoting development in Colombia's rural sector which provides resources to financial institutions to grant loans for productive programs, has published a new circular adapting the upper thresholds applicable to those accessing agricultural or rural funding through a number of financial intermediaries , as laid out in its "Service Manual".

Thus, the following categories of people can access this financing:

  • Small-scale producers: total assets not exceeding 284 MMW (COP 235,184,944) (approx. EUR 64,896)
  • Low-income rural women: total assets not exceeding 198 MMW (COP 164,629,461) (approx. EUR 45,427)
  • Rural youth: total assets not exceeding 198 MMW (COP 164,629,461) (approx. EUR 45,427)
  • Medium-sized producers: total assets not exceeding 5,000 MMW (COP 4,140,580,000) (approx. EUR 1,142,544)
  • Large-scale producers: total assets over 5,000 MMW (COP 4,140,580,000) (approx. EUR 1,142,544)
  • MSMEs: total assets not exceeding 30,000 MMW (COP 24,843,480,000) (approx. EUR 6,855,264)
  • Agricultural and Rural Microcredit - Maximum credit: Up to 25 MMW (COP 20,702,900) (approx. EUR 5,712)