Financial Aggregates June 2009

Release date: 31 July 2009

Total credit provided to the private sector by financial intermediaries rose by 0.1 per cent over June 2009, following a fall of 0.1 per cent over May. Over the year to June, total credit rose by 3.4 per cent.

Housing credit increased by 0.6 per cent over June, following an increase of 0.5 per cent over May. Over the year to June, housing credit rose by 7.1 per cent. The rise in housing credit over June was mostly due to growth in lending to owner-occupiers, with only weak growth in lending to investors.

Other personal credit fell by 0.3 per cent over June, following a decline of 0.4 per cent over May. Over the year to June, other personal credit fell by 7.0 per cent, reflecting a large decline in margin lending.

Business credit fell by 0.5 per cent over June 2009, following a decline of 0.8 per cent over May. Since its peak in November 2008, most of the decline in business credit has been due to falls in foreign currency denominated lending. These falls reflect both the appreciation of the Australian dollar over this period and some reduction in the stock of foreign currency denominated lending. Over the year to June, business credit rose by 0.5 per cent.

Over the month of June, M3 increased by 0.7 per cent and broad money increased by 0.9 per cent. Over the year to June, broad money grew by 11.3 per cent.

All growth rates for the financial aggregates are seasonally adjusted, and adjusted for the effects of breaks in the series as recorded in the footnotes to tables. Figures showing the levels of financial aggregates are not adjusted for series breaks. Historical levels and growth rates for the financial aggregates have been revised owing to the resubmission of data by some financial intermediaries, the re-estimation of seasonal factors and the incorporation of securitisation data.