The CEOs of Australia’s two biggest banks said on Thursday a tight labour market was keeping late home loan repayments below historic levels even after a year of rising interest rates, but warned that living costs would squeeze the economy through 2023.
The updates from Commonwealth Bank of Australia (CBA.AX) and Westpac (WBC.AX) gave a sense that the A$2 trillion ($1.4 trillion) mortgage market, a bedrock of the world’s thirteenth largest economy, may avoid a downturn that economists feared when the central bank began raising rates in May last year.
Read More : Low Unemployment Rate Supports Australian Banks in Home Loan Market