Banking Survey reflects positive rural relationships
Waitaki MP Jacqui Dean said she welcomed the results of a Federated Farmers banking survey released yesterday saying it gave a good insight into the positive relationship between the agriculture and the banking industries.
“Considering the level of farming debt, it’s essential that banks and farmers are communicating and have a positive and open relationship.
“Particularly this season when the dairy sector is faced with a low pay out reinforcing that positive relationship between the bank and the farmer on the land is crucial.
“In Otago-Southland dissatisfaction over bank mortgages affected just 5 percent of those surveyed, those who felt undue pressure from banks was 6.1 percent - while 80.4 percent of farmers in the region were satisfied with bank communication around their mortgages in the past three months.
“I take comfort from these results. It’s important that banks are providing appropriate support to the farming sector, and particularly dairy, at this time.
“Banks clearly play a crucial role in any farm business and it appears that they are working constructively to support their clients at this time.
“I was heartened to see the number of Otago-Southland farmers who had a detailed budget for the current season (68.3%) but would also like to see those numbers improve.
“Clearly banks cannot provide the necessary support and advice if farmers are not ready to put some figures down and get a clear picture on where their business is going.”