As Liar Morrison mulls his great hope of unwinding macroprudential, the RBA head has other ideas:
Dr Lowe said: “When I talk to my overseas peers and say more than 40 per cent of new loans in the country were to borrowers who didn’t have to make a single dollar of principal repayment, they say, how? Why would you allow that?
”It didn’t feel right to me. It felt like it was building up risk in the system so that was addressed and I would hope there would be a permanent element of that.
