Brazilian agribusiness faces record rise in judicial recovery requests

The Brazilian agribusiness sector is facing significant financial pressure, characterized by a historic rise in judicial recovery requests. According to Serasa Experian data, the sector recorded 1,990 judicial recovery filings in 2025, a 56.4% increase compared to 2024. This trend continued into the first quarter of 2026, with 474 requests, representing a 21.9% increase over the same period in 2025.

This surge in insolvency filings is linked to rising indebtedness and a more selective credit environment. While the agribusiness sector leads in judicial recovery requests, it has seen relatively few actual bankruptcies compared to urban sectors like services and commerce. Experts note that producers are increasingly adopting disciplined financial management and structured tools to protect margins amidst high input costs and commodity volatility.

In the banking sector, results are mixed. While major institutions like Itaú Unibanco and Bradesco reported profit growth, Banco do Brasil saw a 42.5% drop in profit despite higher revenue. This decline is attributed to rising delinquency rates in rural credit, which reached 6.5% for individuals in 2025, up from 2.3% the previous year.