BNZ extends its First Farm package to all agri sectors with new funding support
BNZ has added a new funding incentive to its First Farm initiative, offering first-time farm buyers a package designed to ease the financial pressure of getting started in ownership.
The First Farm Funding Boost provides up to a 1% interest rate discount on the first $2 million of borrowing for the first two years, plus access to up to $250,000 in working capital at 2.99% for six months to help cover early cashflow demands.
For a buyer borrowing more than $2 million, the combined benefit could reduce borrowing costs by more than $40,000 across the first two seasons.
The package builds on BNZ's existing First Farm programme, which launched last year with a focus on dairy and supporting aspiring farmers into first herd or sharemilking arrangements. The Funding Boost extends that financial support across the wider agri sector for the first time.
BNZ general manager agribusiness and corporate banking Dave Handley (pictured) said the initiative was designed to address a practical problem.
"Buying a first farm is a major milestone. It takes capability, commitment and careful planning, and the early years can put real pressure on cashflow," Handley said in a media release.
Who qualifies
The boost is available to first-time farm buyers across agricultural sectors, first-time 50/50 sharemilkers, and first-time farm owners entering via equity partnerships — provided the buyer is the operator and holds at least 10% equity. Dry stock farm purchases under 100 hectares are excluded. Lending criteria, terms and conditions, and fees apply, with pricing assessed on a case-by-case basis.
Backing the next generation
Handley said the expansion reflects the evolving nature of farm ownership pathways in New Zealand.
"Farming and growing are central to New Zealand's economy and rural communities, but the path into ownership is changing," he said. "We want to support people with the ambition and ability to take that step, whether that's into their first farm, first herd, or an eligible equity partnership. The new funding boost is designed to help reduce some of that pressure, giving first farm buyers more breathing room as they establish themselves."
Separately, BNZ has announced targeted financial support for customers affected by heavy swells in Wellington's Southern and Eastern Wards, where a local state of emergency has been declared. Affected customers can call 0800 ASKBNZ or reach out to their BNZ Partner.
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