Australian Banks: June 26 APRA: Business growth growing

Research evidence excerpt

Australian Banks: June 26 APRA: Business growth growing

Global Research

31 July 2026ab

Australian Banks Equities

AustralasiaJune 26 APRA: Business growth growing

Financial

John S. Storey, CFA

Credit growth was strong in June; business lending outpacing Analyst

System credit grew +8.6% YoY in June, with business lending (+10.5%) continuing to john.storey@ubs.com

increasingly outpace housing (+6.9%). Total deposits grew +8.4% YoY, only slightly +61-2-9324 3864

below credit growth, suggesting the system remains comfortably funded (for now). Nicholas Sobolev, CFA

MQG continues to stand out in mortgages, while the regionals outpaced the majors in Analyst

business lending growth for the month. ANZ lagged across almost all categories, though nicholas.sobolev@ubs.com

continues to outpace the majors MoM on investor mortgages, (40-60bps in June). This +61-2-9324 3026

month's data follows budget changes on May 12th, with investor mortgages still

steadily rising as customers are possibly securing loans ahead of the negative gearing

and grandfathering changes which come into effect in July 2027.

Mortgages: growth held up well despite budget changes

Investor mortgage growth (+9.1% YoY) continued to outpace owner-occupier (+5.9%),

with the gap widening since mid-2025. MQG again recorded the highest growth among

major institutions, while ANZ led the majors (+1.3% m/m vs system growth of 0.9% m/

m). Regionals, however, continue to shed market share to major and challenger banks.

CBA is the only major bank who has grown market share (+0.2%) over the past 12

months. Macquarie continues to gain market share in total housing capturing 1.1

percentage points of mkt share over 12-months now at 7.3%.

Business lending: lending growth robust across regionals and majors