OMAHA (DTN) -- The Farm Credit System made more than 310,000 loans totaling $150.2 billion in 2025, with more than 56% of the total loan count going to young, beginning or small farmers, according to a new federal report.
The highest percentage of loan counts -- 23.9% -- were made to small-only farmers, defined by FCS as those with less than $350,000 in annual gross cash farm income, according to the report.
The Farm Credit Administration released the FCS Young, Beginning and Small (YBS) Farmer Mission Performance report during its monthly meeting on Aug. 13, detailing lending and nonlending support of young, beginning and small farmers.
FCA defines young farmers as those who are 35 years or younger and beginning farmers as those who have been farming for 10 years or less.
Each year, FCA collects information from the FCS on young, beginning and small farmer lending and non-lending activities, providing insights into a range of services, education and outreach activities as well as lending.
For the third consecutive year, FCS reports both lending and non-lending datasets.
Lending results and highlights from the report:
In a specific reporting structure, banks provide FCS an annual report summarizing young, beginning and small lending activities within their districts.
Eligible loan types are real estate mortgages, production and intermediate term, and process and marketing. Reporting categories include young only; young and beginning; young and small; beginning only; beginning and small; small only; and young, beginning and small (YBS).
-- In 2025, FCS made 310,821 YBS and non-YBS loans, totaling $150.2 billion. At year-end 2025, the system had 1,122,979 outstanding loans, totaling $429.3 billion.
-- Compared with 2024, the number of loans made in 2025 increased 19.7%, and volume of loans made in 2025 increased 14.5%. Outstanding loan counts increased 6%, and outstanding volume increased 7% between year-end 2024 and year-end 2025. Loan volume is reported as current commitment, which is the dollar amount of disbursed funds plus undisbursed commitments eligible to be drawn.
-- For loans made in 2025, system lending to the seven mutually exclusive YBS categories included 175,068 loans totaling $38.2 billion. At year-end, the number of loans and loan volume outstanding to the seven mutually exclusive YBS categories was 696,419 loans for $131.5 billion.
-- Lending results varied considerably by several loans made to YBS and volume of dollars lent to YBS. More than 56% of all loans were made to some combination of young, beginning and small, with the small-only category being the largest percentage at 23.9%, and the young-and-small category being the smallest percentage of YBS loans made in 2025.
-- From a loan volume perspective, more dollars were lent to non-YBS farmers and ranchers. Approximately 25% of total dollars lent in 2025 went to a YBS farmer.
-- Sixty-two percent of outstanding loans were to YBS categories.
-- The largest share of outstanding loans was in the small-only category at 23.1%, followed by the beginning and small category at 14.8% and the YBS category at 11.2%.
-- Non-YBS farmers and ranchers accounted for about 70% of outstanding loan volume.
Nonlending results and highlights:
FCS institutions also report information on nonlending capital commitments such as leases and investments, financially related services, scholarships, grants, conferences, seminars, workshops, and marketing and outreach.
-- The total value of these services in 2025 was $396.4 million. Approximately 88%, or $350.1 million, was for investments and leases.
-- Approximately $36.7 million was spent on scholarships, grants and outreach.
-- Financially related services, including loan guarantee fee payments, financial document preparation fees, appraisal fees and tax preparation services for YBS farmers and ranchers accounted for $9.6 million in spending in 2025.
-- Total nonlending dollars increased by 13.8% from 2024, mostly due to increases in investments and guarantee fees paid, the report stated.
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