South Australian farmers are taking advantage of low-interest loans from Australian Government specialist farm business lender RIC (Regional Investment Corporation) to improve cash flow and gain financial breathing space to manage through dry conditions.
RIC Chief Executive Officer John Howard has reminded South Australian farmers that a RIC low-interest loan may be a valuable option to access financial support for their farm business.
“In South Australia, farmers are recognising the benefits of RIC loans, using them to refinance part of their existing debt to save on their agribusiness loan repayments and free-up cash flow to buy feed and water for livestock and cropping, pay operating expenses, and purchase capital infrastructure to improve their water storage,” Mr Howard said.
“Our specialist team of agribusiness lenders are talking to farmers every day, and many tell us they just need some financial breathing space to manage through until they can get back on their feet.”
New RIC low-interest loan applications from South Australian farmers have more than doubled in 2025 compared to the same time in 2024 as drying conditions continue.
This year from 1 January to 30 April 2025, 68 new loan applications have been submitted from South Australia, more than any other state or territory in the same period.
South Australian sheep and grain producers, James and Lesley Sander and their son Luke, are using their RIC loan to manage rising operating costs and plan for the future during dry conditions.
“I’m 67 and I’ve never seen it that bad, or seen it so dry for so long,” said James Sander.
“We’ve spent substantial money just on fodder and freight – we’ve tried to keep our numbers up for when it does come good."
“We just wanted to be comfortable and not have as much debt. We’re really happy with RIC, just the lower interest rate – it really helps us.”
Their RIC loan is helping the Sanders continue to feed their flock, add containment pens to hold sheep in condition, buy fertiliser and plant the next crop of wheat, barley and oats once rain falls.
Key points for RIC loans in South Australia
- New RIC loan applications have more than doubled from 1 January to 30 April 2025 compared to the same period last year.
- The highest number of all new RIC loan submissions from 1 January to 30 April 2025 nationally were from South Australia.
- The South Australian local government areas (LGAs) where the most loan applications have been received from are Mount Remarkable, Yorke Peninsula, Light and Goyder.
- Since 1 July 2018 RIC has settled 349 total loans in South Australia valued at over $335 million as at 30 April 2025.
- More than 80 per cent of all South Australian settled loans are RIC Drought Loans at 30 April 2025.
The RIC Drought Loan is a concessional loan from the Australian Government and is available to help eligible farmers throughout the drought cycle – whether they are in drought, recovering or manage their business risks to prepare for future events.
Read ric.gov.au/loans/drought for more information and visit the ‘Before you apply’ web page to see if a RIC Drought Loan is right for you and help with how to apply or call us on 1800 875 675 to talk through your individual needs.
For existing RIC customers in financial hardship, please contact our specialist team on 1800 875 675 to discuss your options.
The Sanders’ story is available on the RIC website www.ric.gov.au/loans/customer-stories
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Media Contact: E media@ric.gov.au | M 0435 168 885
About RIC
RIC (Regional Investment Corporation) is an Australian Government farm business lender providing low-interest loans for farmers and farm-related small businesses in financial need to strengthen Australian agriculture. RIC loans can be used for management, recovery and future proofing following severe business disruption due to drought, natural disasters, biosecurity issues or other significant market events. RIC loans can also help farm businesses to establish farm businesses for first generation farmers or succession planning for next generation farmers. RIC’s vision is to build thriving regional communities. Since 1 July 2018 RIC has settled 3345 loans valued at more than $3.56 billion as at 30 April 2025.