From the AFR:
Westpac Banking Corporation says commercial lending growth has softened in recent months and a sharp recovery in the sector is unlikely, as many business owners hold off on big investments.
In a sign of the caution among business people, head of commercial lending, Alastair Welsh said business credit growth had slowed in the second half as customers focused on improving their balance sheets.
He said the annualised pace of growth had slowed over the past few months as many business customers were “reluctant” to make investment decisions, or were paying down debt.
“Things have slowed in the last period in terms of growth, and that’s driven by new transactions but also by people paying back [debt] facilities,” he told journalists on Monday.
Consumers and businesses both.
