Powered by MOMENTUM MEDIA
SUBSCRIBE TO OUR NEWSLETTER SIGN UP
Powered by MOMENTUM MEDIA

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

CBA warns of rate hike

Staff Reporter 1 minute read

Despite posting a $2.9 billion interim cash profit, CBA’s chief executive Ralph Norris said the bank could be forced to lift rates above the Reserve Bank due to increased funding costs.

Mr Norris said funding costs and their pass-through was a “day by day situation”, noting that higher cost inputs would need to be passed on.

According to a report in The Australian Financial Review, Mr Norris said higher funding costs would also crimp profits.

He also said adopting excessive regulatory measures to align with international reforms would hurt the industry and lead to higher costs for borrowers.

“We must be careful that Australia, which has a healthy banking system and an effective and well managed regulatory regime, is not materially disadvantaged by changes driven by poor practices in the northern hemisphere,” he said, adding: “not one dollar of taxpayer money has gone to our banks”.

CBA warns of rate hike
default
TheAdviser logo
default

 

more from the adviser
ASIC TA ASIC to update ACL process following security breach

The financial services regulator is working on “alternative arr...

money au ta Lenders extend cashback offers

Several lenders and their subsidiaries have extended their cashba...

ren wong N1 pivots to become SME lender

Diversified broking and non-bank lending group N1 Holdings has an...

FROM THE WEB