LOW-INTEREST loans of up to $2 million are available for farm businesses and up to $500,000 for agriculture-dependent small businesses after the Federal Government doubled its commitment to the Regional Investment Corporation (RIC).
Funding to the RIC has been doubled from $2 billion to $4 billion, with interest rates for all RIC’s farm and farm-related small business loans dropping to 1.92 percent on August 1.
Federal Minister for Agriculture, Drought and Emergency Management, David Littleproud said unprecedented demand for the concessional loans showed what a useful support mechanism it is for rural businesses at this time.
“These loans have been critical in helping farmers and small businesses facing hardship due to the drought,” he said.
Mr Littleproud also announced that the RIC’s AgriStarter Loans, designed to support people in establishing a new farm business, buying an existing farm business or undertaking succession arrangements, will receive $75 million in 2020-21 and become available from January 1, 2021.
RIC chair, Karen Smith-Pomeroy said that the RIC welcomed the provision of additional Federal Government funding which will enable the delivery of ongoing support to drought-affected farmers and farm-related small businesses.
“The further support from the Federal Government ensures we are able to meet the unprecedented demand for our drought loans and continue to deliver value to rural communities and build a stronger regional Australia,” Ms Smith-Pomeroy said.
