Green microfinance: the case of the Cresol System in Southern Brazil

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Lauro Emílio Gonzalez Farias
Rafael Magnus Barbosa Moser

Abstract

Climate change which until recently seemed a luxury for the microfinance sector, now appears to be crucial for the future of the sector. Due to their low adaptive capacity, the millions of MF clients worldwide happen to be the most vulnerable to a changing climate. Adapting previous analysis conducted in Nepal and Bangladesh by Agrawala and Maëlis (2010) to the Brazilian context, in this inductive qualitative study we aim to assess potential synergies between MF and CC actions and what strategies can be harnessed to better respond to CC vulnerabilities at client/MF level. To do so, we investigated the case of the second largest rural microcredit programme in Brazil, Sistema Cresol de Cooperativas de Crédito Rural com Interação Solidária. Albeit important overlaps between Cresol’s product envelope and CC strategies exist, there is still room to realise synergies to both mitigate a new potential source of risk to Cresol’s portfolio and to increase clients’ adaptive capacity.

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How to Cite
Farias, L. E. G., & Moser, R. M. B. (2015). Green microfinance: the case of the Cresol System in Southern Brazil. Brazilian Journal of Public Administration, 49(4), 1039 a 1058. Retrieved from https://periodicos.fgv.br/rap/article/view/51620
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