Weekly Update: 14 March 2025

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Highlights this week:

1. Extensive coverage of banking support for households and businesses impacted by Tropical Cyclone Alfred.
2. ABA CEO Anna Bligh spoke at the Australian Institute of Company Directors Governance Summit 2025 about the political and economic challenges shaping Australia.

Quote of the week:
“We’re not immune from global economic factors. We’re not immune from decisions about tariffs, nor are we immune from what has happened with global energy prices.”

–  Anthony Albanese, Prime Minister. Interview with ABC Adelaide, 13 March 2025.

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Media & Communications Update:

The ABA distributed a media release welcoming the 2024 Targeting Scams Report, highlighting a $700 million reduction in scams losses.

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Parliamentary Update:

The Prime Minister announced the activation of financial support for communities directly affected by ex-Tropical Cyclone Alfred through the Disaster Recovery Allowance. The PM and NSW Premier also announced emergency financial assistance to help NSW residents in the state’s north-east.

The Prime Minister and Opposition Leader held daily press conferences which were dominated by the topics of ex-TC Alfred flood recovery, tariffs, US-Australia relations and energy costs.  

Small Business Minister Julie Collins announced the Federal Government will extend protections relating to Unfair Trading Practices and small businesses.

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Policy Update:

ABA CEO Anna Bligh spoke at the PwC Financial Services Industry Town Hall, discussing the history of International Women’s Day and the state of DEI in Australian workplaces.

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Economic Update:

The latest quarterly ADI statistics from APRA show that households are maintaining mortgage repayments with arrears only ticking up by 0.01% to 1.46% and banks maintain an unquestionably strong capital position with the ADI subgroup of banks having a CET1 ratio of 12.1%.

To put this in perspective, mortgage arrears in March 2019 were 1.48%, yet the CET1 capital position of banks was 10.9%, meaning the banks are holding an extra $54b of capital.

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Regulatory Update:

The RBA published its risk assessment of the proposed decommissioning of the Bulk Electronic Clearing System.

The Council of Financial Regulators released their March quarter statement.

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Coming up next week:

Data:

• 20/03 – Labour Force
• 20/03 – National, state and territory population

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Upcoming Submissions:

Published submissions

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Upcoming Events:

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Selected Media:

• Business News Australia – Banks declare they are playing their part as losses to scams fall by $700m over the past year
• AFR – Coles, RBA warning on push to guarantee Armaguard jobs
• The Australian -Boards must conduct their own inquiries into questionable behaviour, says ASIC chair
• SMH – Sydney kids are banking on mum and dad. But I don’t want to be a loan
• AFR – Sticky inflation data is a reminder of market’s stagflationary fear

Warm regards,
The ABA Team

Weekly Update