By Troy Gillard

Additional Lending Capacity

Federal government announces COVID-19 aid for farmers

Mar 23, 2020 | 10:53 AM

The Canadian government is immediately moving to provide funds for farmers in the wake of the COVID-19 pandemic.

Prime Minister Justin Trudeau announced Monday that the government is opening up an additional $5 billion in lending capacity for the agriculture sector. Applications can be made today through Farm Credit Canada.

“Farmers and producers work hard to put food on tables across our country, and they should not have to worry about being able to afford their loan payments or having enough money to support their own families,” Trudeau said. “We are taking action now to give them more flexibility to meet the challenges ahead.”

In addition, all eligible farmers who have an outstanding Advance Payments Program (APP) loan due on or before April 30 will receive a Stay of Default, allowing them an additional six months to repay the loan. This measure, which represents $173 million in deferred loans, aims to keep more money in farmers’ pockets during these critical months.

“The Stay of Default will also provide farmers the flexibility they need to manage their cashflow when facing lower prices or reduced marketing opportunities,” the government says in a release. “Applicable farmers who still have interest-free loans outstanding will have the opportunity to apply for an additional $100,000 interest-free portion for 2020-2021, as long as their total APP advances remain under the $1 million cap.”

Meaningful Mementos

Remembering Someone You've Lost at Christmas

Dec 03, 2024

Seasonal Sorrow

How Do You Get Through The Holidays When You're Grieving?

Nov 01, 2024

Upcoming Events at Oliver's

Grief & Loss and Estate Planning Seminars

Oct 02, 2024

“Like many Canadians, I am truly grateful for our farmers and food business owners and employees, who continue working hard so we all have quality food on our grocery store shelves and kitchen tables,” said Marie-Claude Bibeau, Minister of Agriculture and Agri-Food. “Their continued work is essential to our plan to manage COVID-19. The measures announced today will provide farmers and food producers across the country with important financial flexibility they will need during these challenging times.”