The latest loan data was a wake up call to the industry and regulators. Investment loan lending has been running hot, much due to investors seeking to refinance to avoid recent price hikes. We suspect behind the scenes, regulators will be having “a quiet word”.
Analysis of the APRA numbers (contaminated by loan switching of around $50 bn between owner occupied and investment loans) shows CBA trending ahead of its competitors. This chart shows the month on month stock movement. This would be worrying the regulators.
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Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness.
Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.
Analysis of the APRA numbers (contaminated by loan switching of around $50 bn between owner occupied and investment loans) shows CBA trending ahead of its competitors. This chart shows the month on month stock movement. This would be worrying the regulators.
