RIC Holds Farm Loan Interest Rate at 5.18% Starting February 2026
Providing Stability for Farmers Amid Financial Pressures
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The Regional Investment Corporation (RIC) has announced that its variable interest rate for farm business loans will remain at 5.18% from 1 February 2026, offering stability to farmers facing financial pressures.
This decision marks the fourth consecutive review where the rate has been held steady, reinforcing RIC's commitment to supporting the agricultural sector during uncertain economic times.
RIC CEO John Howard emphasized that maintaining the rate provides certainty for farmers managing cash flow and financial planning. Over the past year, RIC loan customers have saved an average of 2.26% in interest payments compared to commercial bank loans. For a typical $1 million loan, this equates to potential savings of over $22,000 annually, offering significant financial relief to farmers.
By keeping the interest rate unchanged, RIC aims to support farm businesses in navigating economic challenges, ensuring they have access to affordable financing options. This stability is particularly crucial as farmers plan for the year ahead, allowing them to focus on productivity and growth without the added concern of fluctuating loan costs.
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