Farm banks issue about $ 35 billion in PPP loans
The director of economic and policy research at the American Banking Association says farm banks have allocated nearly $ 36 billion through the Payroll Protection Program.
Tyler Mondres reports that 817,000 loans have been disbursed to the Brownfield institutions, which is 7 percent of all loans in the program. “The numbers are very encouraging. The average PPP loan to farmers was $ 43,000, so you are talking about quite small producers who were able to use this financing to meet their needs. ”
Mondres says money from both rounds of PPPs has helped support nearly 15 million jobs. The cash value of the loans was 4.4 percent of all money disbursed through PPPs.
He says that the participation of farmer banks in the program helps to stimulate the rural economy. “Farmer banks and community banks in general are really important to those rural communities that may not have easy access to all other services. They play a critical role in providing uninterrupted credit and are the lifeblood of rural communities across America, ”he says.
The data was published in the ABA annual newsletter. Farm bank performance report.