1.11 — Farm debt mediation

A national scheme of farm debt mediation should be enacted.

Government Response

The Government agrees to establish a national farm debt mediation scheme.

A national scheme would assist lenders and borrowers to agree on practical measures that may lead to the borrower being able to address financial difficulties that have caused the loan to become distressed. The Government further supports mediation occurring soon after the loan becomes distressed and not as a last measure prior to the lender taking enforcement action.