Source: Kansas City Federal Reserve Bank
Growth in farm lending activity slowed in the third quarter of 2019, according to the Federal Reserve’s Agricultural Finance Databook.
Following nine consecutive quarters of year-over-year growth and a particularly notable increase a year ago, the volume of total non-real estate farm debt declined nearer to the historical third-quarter average. The primary contributor to the slowdown from sharp increases a year ago was a decline in the average size of farm operating loans.
Despite a slowdown in the pace of debt accumulation, weaknesses in the sector persisted, continuing to pressure farm cash flows and agricultural credit conditions.
Read the latest Agricultural Finance Databook here.