Statement on Government response to RIC Review

The National Farmers’ Federation (NFF) notes the Federal Government’s response to the Independent Review of the Regional Investment Corporation (RIC) Act 2018, as well as the announcement of two additional loan products.

NFF President Hamish McIntyre said today’s announcement follows months of sustained advocacy by the NFF and its members for the Government to respond to the independent review commissioned in November 2023.

“We particularly welcome the Government’s agreement with the review’s key recommendations that concessional lending is an effective policy tool that should be retained and that the RIC be maintained to deliver such lending in a nationally consistent manner,” Mr McIntyre said.

This follows the commitment of an additional $1 billion in funding to the RIC announced by the Government in August this year.

“Farmers have been asking for certainty, and while we would have liked to see more detail on how recommendations are to be implemented, given the review was handed down nearly 18 months ago, today’s response from the Minister goes some way towards delivering that.

“The NFF, along with our members, will work with the Government as the recommendations are implemented.”

The NFF welcomed the new Drought Hardship Loan and the expanded concessional loan option for slow-onset ecological events, such as the persistent algal bloom impacting South Australia.

“Farmers are always planning for the next drought, but there are times drought conditions stretch across multiple seasons and are beyond control,” Mr McIntyre said.

“While details are limited at this stage, we acknowledge efforts to implement support for operating expenses during multi-year droughts, and the proposal to defer interest repayments for two years.”

The Government has committed to rolling out both products in the first half of next year.

“We are committed to working with the Government on the detail to ensure this support can be rolled out as quickly as possible to help the farmers and fishers struggling with prolonged drought and algal bloom.”

The review can be found here.