Statistics Canada reported that Canada's farm sector equity increased by $54.5 billion in 2025, reaching $888.9 billion as of December 31.
The release gives a balance-sheet view of an asset-heavy sector that is tied closely to land values, borrowing costs, farm income, and food-production capacity.
The gain was broad but uneven. Farm equity rose in every province except British Columbia, where it fell 1.7%. Alberta and Saskatchewan accounted for more than three-quarters of the national increase, with equity up 11.6% in Alberta and 9.9% in Saskatchewan.
Total farm asset values rose by $66.7 billion, or 6.7%, to about $1.1 trillion. Statistics Canada said farm real estate was responsible for close to three-quarters of the increase in asset value.
Farmland values were a major part of the move. The value of farmland rose by $46.4 billion, or 6.5%, to $759.7 billion in 2025. Crop inventories also rebounded after two years of double-digit declines, rising $1.7 billion to $25.7 billion.
Livestock values added another source of strength. Poultry and market livestock inventories increased by $4.8 billion, or 29.2%, to $21.3 billion, largely because prices were higher for most poultry and market livestock commodities.
Debt also increased. Total farm liabilities rose by $12.2 billion, or 7.7%, to $171.2 billion. Long-term liabilities accounted for the increase, while current liabilities declined for the first time since 2021.
The release also pointed to an improvement in debt-servicing capacity. The interest coverage ratio rose to 2.630 after two years of declines, helped by lower interest rates and higher total net farm income, although Statistics Canada said the ratio remained below its five- and ten-year averages.