Jonathan Kearns, Head of Financial Stability at the Reserve Bank of Australia speaking on financial stability
Australian banks are better prepared to deal with an economic downturn than they were prior to the 2008/09 global financial crisis
- much higher holdings of liquid assets
- banks are well capitalised
- they have large buffers which are there to be used, not preserved, and will enable them to continue lending and supporting their customers, and so the economic recovery
- Australian banks are also profitable
Full text here: Banking and the COVID-19 Pandemic
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