Friday, July 8, 2022

My Daily Digest: November 27, 2020

Spotlight on farming debt The Reserve Bank is still worried about the level of dairy debt. It’s twice-yearly health check of the economy notes that despite some good returns for farmers in recent years, the number of non-performing and stressed loans hasn’t come back much.

And, it’s now cautioning banks to monitor lending to the horticulture sector, which is growing by 15% a year.

As we know, farming has weathered covid-19 pretty well so far, but there are still risks in the medium and long-term.

Horticulture, of course, will continue to battle for workers despite this morning’s decision to let 2000 workers in early next year.

Debt allows growth, but it’s also a risk. 

In these challenging times, it’s in everybody’s interests to work together to minimise that risk and ensure as many businesses as possible come out on the other side.


Bryan Gibson


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