Home > News > Fed Survey Shows Improving Ag Credit Conditions, Financial Standing

Agriculture took its lumps along with many sectors of the economy earlier in the year from the COVID-19 pandemic, but farmers bounced back later in the year, with many righting the ship in the third quarter of the year after sharp revenue declines in the second quarter, according to the latest survey of ag credit conditions by Kansas City Fed Vice President and Omaha Branch Executive Nathan Kauffman. Rising grain prices and direct government payments were the largest contributors to the rebound, and the optimism is expected to extend well into 2021. Ag lenders said in the survey that loan demand has declined, fund availability is rising and loan repayment has stabilized in the KC Fed district. That’s translated to a stronger farmland market, though some bankers expressed angst about potential price pressure on grain prices into 2021 with an uncertain future for government farm payments. See more from the latest survey.

Subscribe

Be among the first to learn about the ever-changing crop insurance industry by subscribing to the ProAgMessaging system.