(Radio Iowa) – A monthly survey of rural bank C-E-Os in the Midwest finds nearly 58 percent see stable or modest growth in the small businesses in their area. Creighton University economist Ernie Goss says that and other survey responses has pushed the “Rural Mainstreet Index” to its highest level in three years. “It’s not just the farming and ranching sectors looking somewhat better, but the businesses on rural Main Streets are looking somewhat better,” Goss said.
He said also, “…The overall number is heading in the right direction. I can say the negatives are getting less negative. It’s above growth neutral for the month of June and that’s some good news coming out of this survey.” Goss says survey results indicate there’s been recent jump in hiring in rural Iowa and a nearly five percent increase in exports of agricultural goods and livestock from Iowa.
“Exports to China, for example, you compare 2026 to 2024, still down 68% — although the exports to China are expanding right now from 2025,” Goss said. “…We need to see more growth there and that’s going to be positive for all states in the region, particularly Iowa, Minnesota and Nebraska.” Iowa’s rural economy is much more dependent on ag equipment sales than other states in the region, according to Goss, and he says that’s another restraint on Iowa’s economy.
“Farmers are just not buying equipment right now. Farmers continue to repair old equipment. They are also renting equipment, not much buying going on right now,” Goss said. “In fact, the number was below growth neutral for the 34th straight month.”
Every month, Goss surveys bankers in 10 states who serve customers in communities with a population below 13-hundred to come up with an overall estimate of the economy. Iowa’s index for June is up eight points from May.
