A new report shows the top concern facing ag lenders heading into next year is interest rates.
The Ag Lender Survey shows nearly half of those who responded ranked interest rate volatility as number one, which is up 35.5 percentage points from last year. It shows interest rates have boosted bank net interest margins, but fears of weakening loan demand and strong competition are expected to cut into yields.
Most lenders surveyed say farm profitability increased over the last year but it still remains below the prior average.
Related Stories
Fewer interruptions could translate to improved efficiency—and fewer costly delays when timing matters most.
K-State’s Dr. Gregg Ibendahl breaks down the impacts of the Middle East ceasefire on energy markets and input costs, and what farmers should watch in the weeks ahead.
CME Group Executive Director of Ag Research Fred Seamon discusses the recent rise in farmer sentiment highlighted in the March Ag Economy Barometer report.
Faster approvals could speed projects, but may face scrutiny.
Coal-based ethanol could weaken long-term export demand for corn-based fuels.
Data centers may compete with farms for key resources.
