Total system credit growth slowed further in May, up just 0.15% (m/m) & 4.7% (y/y). This was driven by an ongoing slowdown in Investment Property credit, 0.03% (m/m) – the second-lowest growth ever recorded. Owner occupied housing is also slowing, 0.37% (m/m – to 5.8%) down from 0.52% in February prior to the Royal Commission. Business credit had a weak month falling 0.22% with the annual rate stable at 3.8
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David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
