ABA Urges Congress to Rein In Farm Credit System

In a statement for the record in today’s House Appropriations Committee oversight hearing on Farm Credit Administration, the American Bankers Association emphasized that the Farm Credit System has become too large, too unfocused and too reliant on taxpayer subsidies.

“The Farm Credit System’s regulator has expanded the authorities of the Farm Credit System, to the point today where the Farm Credit System provides similar products and services as a typical tax-paying commercial bank,” ABA said. “All taxpayers should be concerned about where the Farm Credit System is choosing to lend taxpayer subsidized credit and that its regulator is working to aid and abet these activities.”