Rural debt remains one of the biggest concerns for the banking sector.
An annual survey of the performance of financial institutions by KPMG shows that the level of rural debt remains at $47 billion, despite repayments by many in the sector.
KPMG says viticulture and dairying have the highest level of debt.
Acting head of financial services John Kensington says banks are actively managing their rural assets, rather than forcing sales in the current market.
Despite high commodity prices, Mr Kensington says it will still take many years for the sector to reduce debt to a level deemed satisfactory to its lenders or the Reserve Bank.
He says the Reserve Bank is proposing to impose a capital overlay requirement on banks lending to the rural sector.
''I think it is very likely to happen,'' he said, ''and it might hampen growth in the sector.
''(But) coming out of the recession, as we have, I think it's an appropriate tool to put in place.''
