27 July 2015
Interest rates on loans across the Australian Government\u2019s concessional loan schemes for farm businesses are set to fall on 1 August.<\/p>\n\n\n\n
Minister for Agriculture Barnaby Joyce said the government was providing $250 million a year for the next 11 years through the Agricultural Competitiveness White Paper in low-interest drought loans to give farmers surety of access to more affordable credit during difficult periods.<\/p>\n\n\n\n
\u201cInterest rates on loans currently under the Drought and Drought Recovery concessional loans schemes will fall to 3.05 and 2.71 per cent, respectively. Farm businesses with an existing Farm Finance concessional loan will see their interest rate fall to 3.55 per cent.<\/p>\n\n\n\n
\u201cGiven current commercial interest rates in the range of 5\u20137 per cent, these rates are equivalent or better than a 50 per cent interest rate subsidy.<\/p>\n\n\n\n
\u201cThe Australian Government will stand by our farmers through hard times, and we are working hard to deliver responsive, effective and genuine assistance where it is needed on the ground\u2014particularly in those areas of New South Wales and Queensland that are being hit hardest by drought,\u201d Minister Joyce said.<\/p>\n\n\n\n
\u201cThe falling interest rates are good news for farmers who already have loans under these schemes or who are considering applying.<\/p>\n\n\n\n
\u201cThe government provides farmers with access to finance at lower interest rates to help them get through tough periods, like drought, and so they can rebuild their businesses once the drought breaks.<\/p>\n\n\n\n
\u201cAgriculture is a pillar of our economy. We must ensure that our farmers remain strong, profitable and resilient in the face of difficult conditions, such as severe drought, which are beyond the control of any business.<\/p>\n\n\n\n
\u201cThis year\u2019s Budget delivers more than $400 million worth of support for farmers and rural communities\u2014much of which is targeted at those impacted by drought.\u201d<\/p>\n\n\n\n
The Australian Government reviews the interest rate applied to the Farm Finance and Drought concessional loans schemes on a six-monthly basis. Adjustments to the concessional interest rates are made following material changes to the Commonwealth five-year bond rate.<\/p>\n\n\n\n
The Drought Concessional Loans Scheme interest rate will be reduced from 3.84 per cent to 3.05 per cent. The Drought Recovery Concessional Loans interest rate will fall from 3.21 per cent to 2.71 per cent. The interest rate for existing Farm Finance Concessional Loans will drop from 4.34 per cent to 3.55 per cent.<\/p>\n\n\n\n
Applications for the Farm Finance Concessional Loans Scheme closed on 30 June, but farmers can still access low-interest loans under the Drought and Drought Recovery concessional loans schemes.<\/p>\n\n\n\n
Farmers interested in a concessional loan are encouraged not to self-assess their eligibility but to find out more from the delivery agency in their state. Contact details are provided on the Department of Agriculture website.<\/p>\n","protected":false},"excerpt":{"rendered":"
Media Release Interest rates drop for farm business concessional loan schemes 27 July 2015Interest rates on loans across the Australian Government\u2019s concessional loan schemes for farm businesses are set to fall on 1 August. Minister for Agriculture Barnaby Joyce said the government was providing $250 million a year for the next 11 years through the […]<\/p>\n","protected":false},"author":1,"featured_media":934,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[97],"tags":[],"post_folder":[91],"_links":{"self":[{"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/posts\/890"}],"collection":[{"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/comments?post=890"}],"version-history":[{"count":1,"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/posts\/890\/revisions"}],"predecessor-version":[{"id":2526,"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/posts\/890\/revisions\/2526"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/media\/934"}],"wp:attachment":[{"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/media?parent=890"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/categories?post=890"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/tags?post=890"},{"taxonomy":"post_folder","embeddable":true,"href":"https:\/\/aglend.com.au\/wp-json\/wp\/v2\/post_folder?post=890"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}