Launch marks a first for a Canadian chartered bank aimed at young Canadian farmers
- The BMO Young Farmer program offers loans of up to $1,000,000
- The total number of farm operators has declined by 7.5 per cent from 2011 to 2016
TORONTO, Sept. 11, 2018 /CNW/ - BMO Bank of Montreal announced today a new loan program for Canadian farmers 35 years of age or younger. The BMO Young Farmer Program is designed to support both young Canadians already in the agriculture industry and those looking to choose the industry as a career path.
"We're watching a demographic shift unfold in the agriculture industry, and we see a need for programs and incentives to attract and support younger Canadians into the sector," said Adam Vervoort, Head, Agriculture Financing, BMO Bank of Montreal. "Canada is a leader in the agriculture industry, with revenue of $61 billion in 2017. With external pressures like weather changes and trade having an impact, we need to do more to ensure that this sector stays competitive for both established farmers and the next generation."
The program offers:
- Eligibility for all products available to farm operations, including Agri Readiline and Farm Equipment Readiline
- Higher advance rates of any asset types eligible under the Canadian Agricultural Loans Act Program, for farmers with six or fewer years of experience
Mr. Vervoort noted that the BMO Young Farmer Program is designed to provide higher advance rates to invest in equipment, new technologies, or the overall infrastructure of a farm operation. The program also helps young farmers keep more money in their pockets by eliminating annual review fees.
"The agriculture sector plays a big part in Canada's economy, and we want to make sure that we're giving young farmers a chance to lead and take the reins in the sector," Mr. Vervoort added.
BMO is Canada's top agricultural bank among the chartered banks and has been supporting the agriculture industry for over 200 years. BMO has invested heavily in agricultural expertise and brought on Agricultural Managers that liaise between the farmers and the bank to make informed recommendations on key investments, such as new technologies, to help farmers drive efficiencies. BMO also continues to recognize the contributions made by farmers to agriculture and their communities with the BMO Farm Family awards.
For more information on how BMO can support your farming business, please visit https://www.bmo.com/main/business/who-we-work-with/agriculture, or connect with one of our Agriculture banking experts.
About BMO and Agriculture
BMO's roots in the Canadian agricultural sector date back to 1817, when the Bank first began working with farmers to support and expand the agricultural industry. Today, BMO provides customized loan, deposit, cash management and card payment solutions to Canada's agri-business owners, the largest core commercial sector that the bank serves.
SOURCE BMO Financial Group