asked the Minister for Finance the amount of money lent by banks to farmers in 1973-74; and the amount that has been allocated for this purpose in the present transitional financial period.
Ceisteanna—Questions. Oral Answers. - Agricultural Finance.
114.
Information supplied to me by the Central Bank shows that total bank credit to agriculture outstanding at mid-February, 1974, amounted to £142.4 million, an increase of £23.9 million on February, 1973. Data on gross lending by the banks is not available.
It is not possible to estimate the prospective amount of bank lending to agriculture in the period from April to December, 1974. Central Bank control is exercised over the aggregate increase in credit but the Central Bank has emphasised to the banks the importance of ensuring that their lending is channelled into productive uses, including agriculture.
Is the Minister aware that farmers who have sought loans at their banks to help them in this difficult time after a bad winter have been refused these facilities and have been informed by bank managers that they are precluded by the Government from lending money to the farmers? What advice has the Minister for those farmers?
If bank managers have so informed the farmers, the farmers have been misinformed. The aggregate of credit in the coming year will be greater than what it was last year. Time and again the Government have emphasised that agricultural credit has a prior claim on available resources.
Is the Minister saying that there is available to farmers ample money from the banks for production purposes?
There should be.
Is the Minister saying that there is or there should be this money available?
I am informing the Deputy that there is more money available now for this purpose than there was last year.
Is there ample money available for farmers from the banks for the remainder of this year for production purposes?
Yes, within the guidelines of the Central Bank. It is the Central Bank and not the Government who lay down these guidelines.
115.
asked the Minister for Finance the amount of money that was invested in the Agricultural Credit Corporation by the public sector in 1972-73 and in 1973-74.
The amount of public funds invested in the Agricultural Credit Corporation in 1972-73 was nil. In 1973-74 it was £8 million.
116.
asked the Minister for Finance the amount of money that was advanced to farmers by the Agricultural Credit Corporation for land purchase in 1972-73 and in 1973-74; and the amount that is available for this purpose in the present transitional financial period.
The amounts advanced to farmers for land purchase by the Agricultural Credit Corporation in 1972-73 and 1973-74 were £2.8 million and £7 million, respectively. ACC have provisionally allocated £4 million for this purpose for the nine-month period, April to December, 1974.
Is the Minister aware that farmers are being told that this money is not available for land projects?
The money has been made available to the ACC and if the farmers have been informed to the contrary they are now being made aware that the money has been made available and they can take the matter up with the ACC.
May I take it then that any small farmer who is suitably qualified will find that this money is available to him?
Any such farmer should ask the ACC for his fair cut of the £4 million that has been made available.
The Minister has said that £4 million has been made available to the ACC for land purchase but is he aware that during the past month the ACC have not been entertaining applications for loans for this purpose? May we take it then that, with another seven months to go in this year, the £4 million has been allocated already?
It should not mean that.
Would the Minister inquire into the situation?
Each year the Department of Finance fix the total amount to be advanced by the ACC. It is a matter for the board of the ACC to lay down the rules applying to funds they lend. I am informed by the ACC that they are giving land purchase loans only to farmers in the EEC Farm Modernisation Scheme and or to farmers who have money on deposit with the corporation.
In view of the fact that that scheme is not working, who determines whether a person is in the scheme?
That is a separate question.
It was embodied in the answer the Minister gave us.
The rules of the EEC Farm Modernisation Scheme are laid down and any person who qualifies for assistance within the terms of these rules can get the necessary assistance from the ACC.
Who is to verify whether a farmer qualifies?
The ACC have their own means of adjudicating on all applications.
Therefore there will be several sources of verification throughout the country.
117.
asked the Minister for Finance the amount of money that was advanced to farmers by the Agricultural Credit Corporation for family settlements in 1972-73 and in 1973-74; and the amount that is available for this purpose in the present transitional financial period.
The amount advanced by the Agricultural Credit Corporation for family settlements in 1972-73 and 1973-74 were £265,000 and £470,000, respectively. The ACC have advised me that having regard to current applications the board has provisionally allocated £50,000 to this purpose for the period April to December, 1974. The ACC board's policy is reviewed frequently in the light of developments.
Is the Minister serious when he says that there will be no family settlements in 1974 and that he is allocating only £50,000. I cannot accept that.
This is Question Time. The Deputy may not make a statement.
Is there any money available for family settlements this year? A sum of £50,000 is not enough.
The detailed allocation of the funds is a matter for the board of the ACC. The money has not been made available to them. On the basis of the applications which are at present before them they have allocated sufficient money to meet them.
Question No. 118.
The Minister is not giving ACC enough money.
We are giving them plenty of money. Last year they did not use all the money they got and we are giving them more money this year.
(Interruptions.)
Order, please.