Crif: record growth in farm financing and default rate below national average
Amounts financed increased by 30.5% per year against an average +13%. Bankruptcy rate at 2.2% against 3%. Better results for co-ops, but farms suffer more than other sectors.
Financing for agricultural companies is growing, demonstrating above-average financial solidity. According to the latest Crif Observatory on the sector, in the first half of the year financed amounts recorded an increase of 30.5% compared to the same period in 2024 and a good 17 percentage points higher than the average of +13% recorded by the rest of Italian businesses.
From the point of view of credit risk, in June 2025 the agriculture sector had 'a stable default rate compared to the end of the previous year and lower than the national figure, standing at 2.2% against a national average rate of 3%'. And for agricultural cooperatives, the figure drops further, to 1.8%.
Farming and related activities, on the other hand, have a slightly higher risk rate, at 2.4%. This figure, the analysts explain, is "influenced by several factors, with potential impacts on the cost structure, turnover and financial structure of industry operators". These include "health risks linked to the spread of infectious diseases and food safety issues; environmental and climatic risks; exposure to feed price trends; potential changes in the characteristics of demand, also in relation to changes in consumer eating habits; and finally, the need for investments, even significant ones, in structures and technologies used in production processes".
"In a context characterised by global challenges, such as ecological transition, digitalisation, climate change and market volatility, Italian agriculture shows good resilience in terms of credit risk. This is positively affected," comments Luca D'Amico, CEO of Crif Ratings, "by the significant presence of predominantly mutual agricultural cooperatives, which are typically characterised by lower default rates by virtue of the close economic link between members and the company itself. This link translates into a strong support of the members to the cooperative's activity, representing an element of risk mitigation. Despite the uncertainty and complexity of the scenario, the outlook for the agricultural sector sees default rates that will continue to be lower than the national figure, albeit rising slightly by the end of the year'.
The growth in credit disbursed to agricultural businesses in the first half of the year," Crif further explained, "was supported by a favourable regulatory framework, which allowed operators in the sector access to forms of subsidised finance, incentivising investments aimed at modernising production structures, adopting innovative technologies and the transition to sustainable agricultural practices, in line with the sector's digitalisation and decarbonisation objectives. However, 'these instruments have allowed only a partial, albeit significant, coverage of the financial needs for investments, giving greater stimulus to the use of bank credit'.
