NAB statement on debt in drought affected areas in Qld and NW NSW
As Australia’s largest agribusiness bank, we are confident in the long term fundamentals of the sector with the lower dollar and the nation’s enhanced trade position, following the recently announced Free Trade Agreements.
We also understand the challenges faced by some of our customers including drought. We support and work with them individually through many options to keep them on the land. Foreclosure is a last resort and happens in very rare cases.
Of our almost 30,000 agribusiness customers across the country, we foreclosed on seven customers in Queensland and north-west New South Wales in the last twelve months.
We currently have no plans to foreclose on any of our drought affected customers in Queensland and north-west New South Wales.
Foreclosure only occurs after a lengthy period of consideration and evaluation that includes an extensive Farm Debt Mediation process and the exhaustion of all other options.
NAB is committed to responsible lending practices. We have over 600 agribusiness bankers on the ground in 110 centres in rural and regional Australia who are part of the community and many are farmers themselves. They work closely with our customers to ensure their business is well understood through all seasonal and business cycles. The overwhelming majority of our customers are profitable and are meeting their loan repayments.