OMAHA (DTN) -- The dollar amount of Farm Credit System loans outstanding systemwide and of young, beginning and small farmer loans outstanding increased in 2021, the Farm Credit Administration board announced in a news release Thursday.
Total system loan dollar volume outstanding increased by 10.9%, FCA said. Loan dollar volume outstanding to young farmers increased by 10.3%, to beginning farmers by 18.1% and to small farmers by 14.2%.
FCA defines young farmers as 35 years old or younger, beginning farmers as those who have been farming 10 years or less, and small farmers as those with gross annual sales of less than $250,000, according to the release.
For both FCS as a whole and for YBS borrowers, total loans outstanding also grew in 2021. Systemwide, loans outstanding increased by 1.8%. The number of loans outstanding to young farmers increased by 2.9%, to beginning farmers by 4.8% and to small farmers by 1.7%.
From Dec. 31, 2020, to Dec. 31, 2021, FCS' overall new loan dollar volume increased by 12.7%. New loan dollar volume to young farmers increased by 8.3%, to beginning farmers by 16.7% and to small farmers by 9.3%.
The number of loans made during the year also increased in 2021 for total system lending and for all YBS categories. The number of total system loans made during the year increased by 2.1%. The number of loans to young farmers increased by 2.8%, to beginning farmers by 3.0%, and to small farmers by 0.8%.
System institutions are required by law and FCA regulation to maintain programs to provide sound and constructive credit and related services to YBS farmers and ranchers. They must report annually to FCA on their YBS lending activity, according to the release.
For more information about the system's YBS farmer lending in 2021, see the related fact sheet (https://www.fca.gov/…). The PowerPoint presentation (https://www.fca.gov/…) used at the FCA board meeting is also available.
Susan Payne can be reached at Susan.Payne@dtn.com
Follow her on Twitter @jpusan
(c) Copyright 2022 DTN, LLC. All rights reserved.