BOI to offer discounted loans to farmers affected by dry weather
Bank of Ireland has announced a discounted working capital loan for agri-customers impacted by the recent dry conditions.
This loan has a discounted variable rate of 4.88%, 24-month term, and will be available from September 21 to December 31, 2026.
Farmers can borrow up to a maximum of €100,000.
This loan aims to ensure "quick and practical support for farmers experiencing cash-flow pressures due to the dry weather".
The purpose of the loan is for working capital requirements arising within farming business including: feed; fertiliser; seed purchases; fuel costs; other farm input costs; and payment of outstanding trade creditor balances (including merchant and co-op accounts).
Cash-flow concerns
Last month, Bank of Ireland urged farmers with cash-flow concerns to engage as soon as possible with their bank, financial adviser or accountant to explore the flexible financing options to help deal with the impact of dry weather conditions.
Bank of Ireland's Retail Ireland division CEO, Susan Russell said: “As the leading lender to the farming sector, we support our agri customers in good times and bad.
"This summer has been a real challenge for farmers and our working capital loan is intended to support otherwise viable farm businesses experiencing temporary cashflow pressures, for both existing and new customers.
"Extreme weather events are intensifying - we will continue to support customers during these challenging times."
The bank said it anticipates an increase in support queries in the short-term as farming businesses evaluate the financial and operational effects of prolonged dry weather.
Challenges
Bank of Ireland head of agriculture, Eoin Lowry said: "Summer 2026 has created exceptional challenges for Irish agriculture, with reduced grass growth and fodder availability.
"This has forced many livestock farmers to buy supplementary feed and use conserved forage much earlier than usual.
"Compounded by geopolitical uncertainty and supply chain issues, this has increased the risk of short-term cash-flow pressure at farm level.
"The discounted working capital loan aims to assist farmers to manage their higher than usual operating costs."
Lowry said he ecnourages any farmer that is concerned to talk to their bank, to ensure that farm finances are "properly structured and devise a plan that will help overcome the current challenges".
