Banks - Australia: Bank Balance Tracker: Credit growth resilient… slow-down looms

Research evidence excerpt

Banks - Australia: Bank Balance Tracker: Credit growth resilient… slow-down looms

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Banks - Australia

Bank Balance Tracker: Credit growth

resilient… slow-down looms

Industry Overview

MQG consistently taking share, ANZ recovers 29 May 2026

Mortgages: Mortgage growth is yet to feel the anticipated slow-down from higher Equity

interest rates and Federal Budget with growth stable. WBC was the only major bank to Australia

gain share in April growing at 1.15x system whilst MQG grew at 3.5x system. ANZ again Banks-Multinational/Universal

improved to 0.9x system vs 0.36x in 1H26. Corporate lending: ANZ and NAB delivered

market share gains in April. CBA and WBC took a breather from above system growth, Matt Dunger >>

growing less than 4.5% H/H in corporate lending. Deposits: MQG continued ongoing Research Analyst

Merrill Lynch (Australia)

market share gains in April, all major banks lost share. Deposit pricing: Retail deposit +61 2 9226 5329

repricing remains a downside risk, as replicating portfolio benefits fade – in our view. matthew.dunger@bofa.com

Major banks have repriced savings accounts by 75-150bp, more than the RBA cash rate. Aida Pita >>

Research Analyst

+61 2 9226-5066Credit growth remains resilient, slow-down expected aida.pita@bofa.com

Gross loan growth for all ADI’s remained resilient in April +7.5% (12 month ann.) and

+7.0% Y/Y. Housing credit (all ADI’s) remained stable at +7.0% Y/Y, investor lending at

+8.9% Y/Y continues to outpace owner-occupier +6.1%. Lending to non-financial Glossary:

corporations was +9.3% Y/Y, with April stronger at +10.3% (12 month ann.). We expect

mortgage lending to slow to c.4% vs business to remain relatively resilient at c.5–7% ADI: Authorised Deposit-taking Institutions