At its annual general meeting on Friday, Australia’s largest business bank said it remained robust to support households and small businesses while economic effects persisted from the 2020 health crisis.
“There will be some sectors that continue to be constrained, some companies whose business models simply don’t work in a COVID-19 normal environment and some households who will remain under concerning financial stress.” NAB chief executive Ross McEwan warned “revenue headwinds” would endure while the bank incurred low credit growth and the “ultra-low” interest rate environment remained in place for the next few years.
NAB chief executive Ross McEwan warned ‘revenue headwinds’ would endure. Picture: Aaron Francis/ The AustralianMr McEwan also said recent upgrades in Australia’s financial health had prompted the bank to reassess its economic outlook, and he expected conditions to return to pre-pandemic levels by the end of next year.
NAB said more than 90 per cent of customers that had sought loan repayment deferrals during the pandemic had resumed payments. At the pandemic’s height, NAB deferred more than $60bn in loans.