I feel like a broken record when I start out by saying the “2019 has put a lot of stress on the agriculture industry.” There is no way around it, it is just the fact that we have to face. Ag lenders are looking at more creative ways to help keep operations solvent in 2020. However, there are some in the banking industry who aren’t quite as down on the current state of the Ag economy.
At the American Bankers Association (ABA) National Ag Bankers Conference, many had a more upbeat outlook on agriculture. A recent survey conducted by the ABA and Farmer Mac shows that nearly sixty percent of bankers feel their farm clients will be profitable in 2020. ABA Chief Economist Jim Chessen tells us more.
Make no mistake, we are still in a tough time in the agriculture industry. All bankers see the current situation and aren’t looking at it through rose-colored glasses. Why are Ag bankers suddenly feel so optimistic? Chessen sheds a little light on that as well.
Chessen also did not sugar-coat the time it will take for the agriculture economy to recover. However, he agrees that we may finally be on the right path, at least from the banker’s perspective.