Ag Credit Survey Cites Lower Farm Income

The Minneapolis Federal Reserve’s quarterly agricultural credit survey of over 60 ag lenders cited growing pessimism. Fed Regional Outreach Director Joe Mahon pointed to declining farm income as a key contributor to that sentiment. “Seventy percent of lenders across our region are reporting farm incomes are decreasing.” Demand has risen for farm loans. Average interest rates dropped slightly for most fixed and variable loan categories with th exception of variable machinery loans, which increased slightly.