Total agricultural credit expanded for the 4th consecutive year to $155.5 billion in 1996. Agricultural loans held by banks increased $2.5 billion to $61 billion. Despite this expansion in farm lending by banks, however, the industry's share of agricultural credit - 39% - declined for the first time since 1981. The US' 3,247 farm banks had strong earnings in 1996 driven by increasing loan volume and lower operating costs. Farm banks earned a record $2 billion in 1996, $146 million higher than the amount earned in 1995.