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Rates on loans used to finance current operating expenses increased nearly a full percent, from 3.7 percent in 2016 to 4.5 percent in the fourth quarter of 2017.

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Welcome to the KTIC Agriculture Information blog!!!

Check back here for the latest in ag news and information, from local events to international happenings and government reports that affect your operation. -Chad Moyer, Farm Director, KTIC Radio Cortney Cowley, Economist, Federal Reserve Bank, Kansas City John Mc Coy, Research Associate, Federal Reserve Bank, Kansas City Lending at agricultural banks increased sharply in the fourth quarter, after appearing to stabilize in previous quarters.

All other bankers reported that renewals and extensions were higher or unchanged. Louis Districts, more than 80 percent of survey respondents reported that renewals and extensions were unchanged from the third quarter in 2016.

Loan repayment rates also continued to decline in each reporting District.

And while the farm economy has remained relatively steady, further increases in loan obligations could stretch borrowers’ repayment capacity in the coming year.