Mobilising internal finance from within forest and farm producer organisations: a case study of Cresol Credit Union System founded by farmers

This case study forms part of a series of six case studies on mobilising internal finance within Forest and Farm Producer Organisations (FFPOs) prepared by FFPOs for the Forest and Farm Facility (FFF).

The study presents the evolution of the Cresol Credit Union System in Brazil, founded in 1995 by 27 family farmers as a first-tier credit union. Cresol currently consists of one third-tier (apex) confederation, four second-tier central credit union organisations and 72 first-tier credit unions, many of which consist of forest and farm producer organisations (FFPOs). Through its 734 local branches distributed across 18 Brazilian provinces and states, Cresol provides financial services to more than 786,000 member families, of whom over 245,000 are involved in agricultural activities. At Cresol, 38.7% of its members are women and 23.2% of are young people.

This study provides an overview of the origins, evolution and current structure of the district association and its internal financial mechanisms, the lessons learned, their impact to date and its prospects for the future.