New Year: Time for a lending tidy up?
Happy New Year! We hope everyone’s 2026 has been off to a good start! Our newsletter is coming out a bit later this month as we have both enjoyed a small break, but we are back in the office and ready for the year.
Our thoughts are with those who have been affected by the fires and floods, in Victoria and Queensland.
Out and About – What We’ve Been Up To This Month
After a little breather in December, the year has already been off to a busy start. We have been working through several home loans, which we recently added to our services to ensure our clients have access to support when purchasing off farm assets.
We have client visits lined up across the state to review last year’s performance, provide analysis of the business, and help plan financially for the year ahead. We will also be attending a number of clients’ annual bank reviews, offering additional support and acting as an advocate where needed.
If you have been considering whether Purvis AgriFinance is right for your business and you are located on the Eyre Peninsula or in the South East, we will be visiting both regions in February. Please feel free to reach out and we can arrange a no obligation meeting to see how we may be able to assist
Normally we would include a work related picture below, but as we have been holidaying here is a cute koala from Laura’s trip to Kangaroo Island.
New Year: Time for a lending tidy up?
The start of a new year is often a time to reset and think about goals for the year ahead. It is also a good opportunity to spend a small amount of time on banking admin, simply to check that everything is still working as it should for your business.Of course, this is something we stay across for our clients. In our latest blog post, we outline a few simple housekeeping items worth reviewing so you can head into the year bank ready, without carrying unnecessary pressure.Click the link below to read more.
Click Here: New Year: Time for a lending tidy up?
What’s Happening with Interest Rates?
The major banks are forecasting the following:
- ANZ currently predicts the cash rate will remain steady
- CBA currently predicts a rise of 0.25% in February
- NAB currently predicts a rise of 0.25% in February and another in May
- Westpac currently predicts the cash rate will remain steady
In December, NAB released a rate market update suggesting interest rates may stay higher for longer than many were hoping. Inflation is still lingering, which means significant rate cuts do not look likely in the near term. In fact, some longer-term rates have already started to creep up again.
For farm businesses, this is a timely reminder not to sit and wait for rates to fall, but to make sure your loan structure still suits your cash flow, risk appetite, and plans for the season ahead.
“The best time to repair the roof is when the sun is shining.” — John F Kennedy
Have a great day!!
Deb & Laura
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Latest News
Episode 3 – What is in store for 2026
Beef sector entering rebuild phase: Both Australia and the US are nearing herd rebuilds, tightening global supply and likely supporting stronger beef prices in 2026.
US–China trade reset looms: A potential new agreement may ease past tensions and boost Chinese consumer demand, positively impacting Australian exports across red meat, wine, and wool.
Brazil enters Japan beef market: Brazil’s low-cost beef may pressure commodity prices, but Australia’s premium grain-fed segment should stay competitive due to quality and safety assurances.
Sheep and lamb sector set to rebound: Australia’s flock shows signs of rebuilding, aided by better pasture conditions, while New Zealand’s declining flock clears export room—though US economic slowdown could be a downside risk.
Bendigo Bank’s 2026 Australian Agriculture Outlook
This report provides a comprehensive six-month forward look at supply, demand and price expectations across Australia’s major agricultural sectors. The outlook is generally positive, though it emphasises ongoing risks from climate variability and global market volatility.
Broadly positive sector outlook – The report finds an overall positive outlook for Australian agriculture in early 2026, supported by strong export demand for key products like beef and tight supply conditions in sheep, wool and some crops, helping prices remain firm.
Seasonal and economic risks persist – Seasonal conditions and the wider economic environment continue to be major influences on production outcomes, with dry patches and input cost pressures flagged as downside risks.
Commodity-specific projections – Individual sectors show varied prospects: cattle and sheep markets remain strong on export demand, cropping sees solid production forecasts, while dairy and horticulture face mixed signals due to cost and market dynamics.
From the Purvis AgriFinance Archives
Looking for a little extra reading over the break? These pieces tie in well with New Year goal setting and business reviews:
Set business goals for success
Prepare well, stress less – your New Year bank review