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Here are top 2 ASX dividend shares with growing yields

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If you are looking to boost your income with some dividend shares, then two listed below could be worth considering.

Both of these dividend shares are expected to provide investors with growing yields in the near term. Here’s what you need to know about them:

The first ASX dividend share to look at is Collins Foods. It is one of the largest operators of KFC restaurants in Australia with over 260 locations. In addition, it has a growing presence in Europe and a smaller but growing network of Taco Bell restaurants across Australia.

Despite its size, management still sees plenty of room for growth in both the Australian and European markets. It has previously highlighted that it has a significant organic growth pipeline and attractive opportunities to reach scale in KFC Netherlands and Taco Bell Australia, while adding to its core KFC Australia footprint.

This could bode well for the company’s dividends in the coming years. Morgans certainly appears to believe this will be the case. Its analysts are forecasting fully franked dividends of 28 cents in FY 2023 and 31 cents in FY 2024. Based on the current Collins Foods share price of $10.06, this will mean yields of 2.8% and 3.1%, respectively.

Another ASX dividend share that income investors might want to look at is Rural Funds. It is an agricultural focused real estate investment trust (REIT) that owns a high quality portfolio of assets across a range of agricultural industries.

These assets, which are leased to major industry players on long term contracts with periodic rental increases, have positioned Rural Funds perfectly to grow its distribution at a solid rate long into the future.

As a result, management plans to increase its dividend by its annual target rate of 4% in FY 2022 and then again in FY 2023. This will mean a dividend of 11.73 cents per share in FY 2022 and then 12.2 cents in FY 2023. Based on the current Rural Funds share price of $2.64, this represents yields of 4.4% and 4.6%, respectively.

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