(NAFB) – The Farm Credit System’s combined net income decreased 1.4 percent to $1.78 billion for the three and six months ending on June 30, 2023.

That’s compared with net income of $1.81 billion and $3.57 billion for the same periods during 2022. “Despite a challenging external environment, the System recognized solid financial results for the first half of 2023,” says Tracey McCabe, president and CEO of the Federal Farm Credit Banks Funding Corporation. “A strong balance sheet and seasoned underwriting professionals continue to position the System to support the needs of our member-borrowers.”

Net income increased $200 million or 7.6 percent to $2.8 billion for the second quarter of 2023 and $420 million or 8.1 percent to $5.6 billion for the six months ending on June 30, compared to the same periods last year. The net income increases primarily resulted from higher levels of earnings driven in part by increased loan volume.