KAFC Approves $2.4M in Loans to Boost Kentucky Farms

By Blake Jackson

The Kentucky Agricultural Finance Corporation (KAFC) approved 13 agricultural loans totaling $2,418,789 during its latest monthly board meeting, supporting a range of projects aimed at strengthening the state’s agricultural economy.

Through the Agricultural Infrastructure Loan Program (AILP), KAFC authorized two loans totaling up to $340,000 for recipients in Boyle and Christian counties.

This program partners with lenders to help farmers finance capital improvements, including permanent farm structures and equipment that enhance operational efficiency and profitability. Eligible applicants can receive up to $250,000, covering no more than 50% of project costs.

The Beginning Farmer Loan Program (BFLP) accounted for the largest share of funding, with eight loans totaling up to $1,716,289 approved across several counties, including Clark, Clinton, Harrison, McCreary, McLean, Washington, Wayne, and Woodford.

The program supports individuals with some farming experience who are looking to establish, expand, or invest in agricultural operations. Funding can be used for livestock, equipment, facilities, working capital, farmland purchases, or ownership in partnerships and LLCs.

In addition, KAFC approved a $192,224 loan under the Diversification through Entrepreneurship in Agribusiness Program (DEALP) for a recipient in Union County. This initiative helps agribusiness entrepreneurs develop or grow ventures that provide products or services to farmers or consumers.

A $250,000 loan was also approved through the Horticulture Incentives Loan Program (HILP) for a project in Calloway County. This program focuses on providing working capital to horticulture producers, helping them move crops efficiently from production to market.

Lastly, KAFC approved a $112,500 loan through the Large/Food Animal Veterinary Loan Program (LFAVLP) in Casey County. This program supports veterinary professionals working with large and food animals, assisting with the construction, expansion, or acquisition of practices that serve livestock producers.

For more information, producers are encouraged to contact their local lenders or the Kentucky Office of Agricultural Policy at (502)382-6093 or email kafc@ky.gov.

Photo Credit: kentucky-agricultural-finance-corporation