Westpac Boss: Australians rejecting high levels of debt

19 06 2012

On Friday, Reserve Bank governor Glenn Stevens said the housing price boom in the decade to 2007 was “unusual” and was unlikely to re-emerge any time soon.

Today it is Westpac’s managing director, Gail Kelly singing the same tunes.

News Limited reported today :

In a closed session, Ms Kelly told business leaders that the years of compound growth in house prices were over for good.

She also said Australians were rejecting the high levels of debt that allowed them to borrow vast sums against the equity in their house.

Figures from the Reserve Bank of Australia show credit growth for housing continues to sit at the lowest rate since records started 35 years ago, supporting Kelly’s claim. January, February, March and April have all recorded annualised growth rates of just 5.3 per cent.

According to a McKinsey Global Institute report released last year titled “Debt and deleveraging: Uneven progress on the path to growth“, at 105 per cent of GDP Australia has some of the highest levels of household debt in the developed world.

» Westpac managing director Gail Kelly says compound growth in house prices are over for good – News Limited, 14th June 2012.

This entry was posted on Thursday, June 14th, 2012 at 7:43 pm and is filed under Australian economyAustralian Housing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

www.whocrashedtheeconomy.com – Original Article




9 responses

21 06 2012

… [Trackback]…

[…] Read More: pasefikalife.wordpress.com/2012/06/19/westpac-boss-australians-rejecting-high-levels-of-debt/ […]…

21 06 2012

Wow, wonderful weblog layout! How long have you been blogging for? you make blogging appear straightforward. The overall appear of your web site is wonderful, as properly as the content material! 395816

30 06 2012
flyttstädning stockholm

… [Trackback]…

[…] Informations on that Topic: pasefikalife.wordpress.com/2012/06/19/westpac-boss-australians-rejecting-high-levels-of-debt/ […]…

1 07 2012
Junk Mail from American Airways

I like the helpful info you provide in your articles. I will bookmark your blog and check again here regularly. I’m quite certain I’ll learn many new stuff right here! Best of luck for the next!

1 07 2012
love this

Very interesting info!Perfect just what I was looking for!

3 07 2012
cigarette electronique

… [Trackback]…

[…] Read More: pasefikalife.wordpress.com/2012/06/19/westpac-boss-australians-rejecting-high-levels-of-debt/ […]…

5 07 2012
electrician melbourne

… [Trackback]…

[…] There you will find 62148 more Infos: pasefikalife.wordpress.com/2012/06/19/westpac-boss-australians-rejecting-high-levels-of-debt/ […]…

6 07 2012

Very interesting info!Perfect just what I was looking for!

18 07 2012
Artistic Designer

Fantastic Sites…

[…]this is absolutely fantastic, added your site to my list[…]…

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: