How Australia’s much feared offshore debt just disappeared

For years I thought it would prove to be our downfall. The immense borrowing that our banks did offshore to leverage mining income into the great property bubble. Largely this was a failure of imagination because I never thought we’d be able to do QE without a collapsing currency. But then the pandemic came and it was all magicked away by the RBA, from Christopher Kent yesterday :

The wondrous Term Funding Facility simply gave banks free money to refinance expensive offshore debt.

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