Microfinance

Microfinance refers to the provision of financial services to low-income clients and addresses a full range of banking needs for poor people. Micro-credit is that part of microfinance that loans to poor or microenterprises to alleviate their poverty by making their business grow.

The Pintadas Solar project has established in June of 2009 a micro-credit system to loan enough money to allow small farmers purchase efficient water irrigation systems.

Revolving fund

The financing of irrigation technologies in Pintadas and other 3 municipalities where the project is currently expanding (Baixa Grande, Quixabeira and Brumado) is based on a revolving fund, where each farmer that meet specific eligibility criteria is entitled to recevie up to R$ 12,000 (about 4,000 Euros) to buy technology equipments. The peculiarity of this revolving fund is that the farmer does not receive cash but technology through a direct commercialization channel with some of the best technology providers in Brazil for irrigation equipments (see our partners).

The terms of the credits are:

- 3% interest rates

- 1 year grace period

- 5 years to repay the loan

- capacity building and technical assistance included in the loan for a minimum of 1 year

Such interesting and competitive terms have been made possible because of partnerships with local, regional and international organizations.

Adapta Sertão

Social technologies for climate change adaptation