National Australia Bank’s head of business banking Andrew Irvine says demand for credit is slowing, but supply chain difficulties are abating and the robust demand for Australian products will keep the economy growing.
“It could be a touch better than [3 to 5 per cent], but we think it’s going to come off, and it certainly won’t be anywhere near double-digit growth again,” he said. “I think confidence is now starting to take a bit of a hit, and our business customers in particular are starting to become a bit more cautious.”
“I would say deals are being reviewed harder. People are being more thoughtful, taking a bit longer, which is a good reaction to a little bit of softening in the economy.”Despite the challenges and expected softening, Mr Irvine said customers were reporting an easing in shipping costs, more goods being available as supply chain pressures ease, and less acute labour shortages.
“I think we’ll be fine for Christmas, and we’re going to have a good Christmas. The question is, how much of a hangover do we have when we get to later in January or February?” Mr Irvine said.
How is it we take bank forecasts as though they're not self-serving propaganda?