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Drought Recovery Concessional Loans Scheme

The Australian Government has extended the application period for the Drought Recovery Concessional Loans Scheme to 31 October 2016.

Drought Recovery Concessional Loans are available to assist eligible Queensland farm businesses that have experienced severe drought conditions.

Under the scheme, the Australian Government has provided Queensland with $25 million for the provision of Drought Recovery Concessional Loans to drought-affected Queensland farm businesses.

Loans up to $1 million, repayable over 10 years at a variable concessional interest rate, are available.

Key features of the scheme

  • Loans are for eligible farm businesses for the purposes of planting and restocking.
  • Loan amounts will be up to 50% of total eligible debt to a maximum of $1 million.
  • The variable concessional interest rate is currently set at 2.66% (from August 2016).
  • Maximum loan terms of ten years apply, with interest only repayments for the first five years.
  • Principal and interest repayments apply from years six to ten of the loan, calculated on the basis of a 10-year loan term.
  • Refinance or repayment is required by the end of the loan term.
  • The combined maximum loan amount available under the Drought Recovery Concessional Loans Scheme, Farm Finance Concessional Loans Scheme and Drought Concessional Loans Scheme will be up to 50% of total eligible debt to a maximum of $2 million in total. Within this, the amount for the Drought Recovery Concessional Loan component cannot exceed $1 million.
  • The availability of loans is subject to funds being available. The scheme will close to applications on 31 October 2016.


To be eligible for a Drought Recovery Concessional Loan, you and your farm business must meet the Drought Recovery Concessional Loans Scheme eligibility criteria. Detailed eligibility criteria are available in the scheme Guidelines.

A Drought Management Plan is available in the scheme's Application Form.

Bureau of Meteorology Rainfall Deficiency Report

You must submit a valid Bureau of Meteorology 'Rainfall Deficiency Report' with your application.

This report identifies those areas that have experienced one of five rainfall deficiency outcomes, which extend 12 months or more. The 12 month period needs to be continuous, in whole months (i.e. not part of a month) and wholly within the last two years.

The report will show areas experiencing a rainfall deficiency, which are:

  • equivalent to or worse than, a 1-in-100 year rainfall event; or
  • equivalent to or worse than, a 1-in-50 year rainfall event; or
  • equivalent to or worse than, a 1-in-20 year rainfall event; or
  • equivalent to or worse than, a 1-in-10 year rainfall event; or
  • less than a 1-in-10 year rainfall event.

An application that does not include a Bureau of Meteorology Rainfall Deficiency Report will be considered incomplete and will not be assessed by QRAA.  All applicants who obtain a valid report are eligible to apply, regardless of the report outcome.

A Rainfall Deficiency Report can be obtained using the Bureau of Meteorology's Australian Rainfall Deficiency Analyser.  Please use the following instructions to generate a report:

  • Locate your farm business by using the “+” or “-“ buttons to zoom in or out on the Australian Rainfall Deficiency Analyser.
  • To ensure the necessary accuracy in obtaining a valid Rainfall Deficiency Report, continue using the zoom function until you have positively identified the location of your property. To avoid selecting a neighbouring property in error make your selection well within your property boundaries. An incorrect report will cause delays in processing your application.
  • Once you have accurately located your farm business, click your mouse and an option to download a Rainfall Deficiency Report becomes available.  Click “download report”, and then print the Rainfall Deficiency Report and attach it to your loan application.
  • Alternatively, you may enter the individual latitude and longitude co-ordinates of your farm business location (if known).
  • Your Rainfall Deficiency Report will be valid for a period of 60 days and forms part of your loan application. If you are unable to lodge your application within the 60 day period you will need to obtain a new report.

The Australian Rainfall Deficiency Analyser is updated on the 23rd of each month (or next business day).

When assessing applications, QRAA will verify information provided by applicants.

Last updated
15 September 2016