The Malinauskas Labor Government is supporting drought-affected farming businesses in South Australia’s Murray Mallee, Riverland and Upper North regions through the SA Drought Loan Scheme, providing access to urgent financial assistance via low-interest loans of up to $250,000.

The SA Drought Loan Scheme will be funded with a cap of $200 million and will offer loans of up to $250,000 over a 10-year term to eligible drought-affected grain and livestock producers. Loan recipients will be granted a two-year repayment holiday, during which no principal or interest payments will be required, delivering significant relief as farmers work to restore cash flow following the ongoing impacts of drought.

Over the life of the loan, the interest rate will be lower than the concessional rate of 5.18 per cent currently offered under the Australian Government’s Regional Investment Corporation loan scheme, as well as lower than prevailing commercial interest rates.

This loan program builds on the Malinauskas Labor Government’s existing comprehensive drought support package totalling $97 million, which includes grants for on-farm drought infrastructure, direct financial relief, support for regional communities, investment in regional public standpipe upgrades, and funding for pest management.