Application backlog for government-funded farm loans

A GOVERNMENT-funded farm financing corporation has been swamped by applications, processing less than 12 per cent of the submissions it received since July last year.

A GOVERNMENT-funded farm financing corporation has been swamped by applications, processing less than 12 per cent of the submissions it received since July last year.

The newly-appointed chief executive officer of the Regional Investment Corporation, Bruce King, told a parliamentary hearing in Canberra last week more staff were being recruited to help deal with a backlog of applications for concessional farm loans.

The RIC, nicknamed the “Barnaby Bank” after its creation by the former deputy prime minister, Barnaby Joyce, administers the Government’s concessional farm business and a water infrastructure loans facility to state and territory governments from Orange, in central west NSW.

Mr King said the RIC has so far had 271 applications for farm business loans, with 21 applications approved and 10 declined. He said getting through the applications and staying in regular contact with customers was an “absolute priority”.

“We’ve got a backlog of applications waiting to be processed and processing times are not within our target service levels,” Mr King said in Canberra last week.

“We more than doubled the number of loan assessors between December and February and expect to get through the applications awaiting assessment in the next few months.

“We recognise that the application process hasn’t been easy and we know how frustrating it can be for farmers who are in need and are waiting to hear the outcome of their application.”