ANZ CEO Shayne Elliott addressed the House of Representatives Standing Committee on Economics, highlighting the current economic conditions and the bank's role in supporting recovery efforts. Accompanied by Mark Whelan, Group Executive for Institutional, Elliott emphasized that Australia is emerging from challenging times with unexpected strength.
"We are facing the most positive economic conditions that we have seen in the six years this Committee has been inquiring into the major banks," Elliott stated. He noted a projected GDP growth of 4.8% for the year and record-high employment figures as indicators of economic recovery.
Elliott pointed out that ANZ Job Ads have risen 23% above pre-pandemic levels, reaching a 12-year high. Despite ongoing challenges for some individuals, he expressed optimism about unemployment rates dropping to at least 5% by late 2022.
The housing market is also experiencing significant activity, particularly among owner-occupiers. "Our loans to first home buyers over the last three months are up 75% on last year," Elliott mentioned, attributing this trend to low interest rates and supportive government policies like the HomeBuilder program.
In terms of business lending, ANZ has facilitated credit availability through initiatives such as the Government’s SME Guarantee Scheme. The bank has written loans exceeding half a billion dollars under this scheme and expects further growth due to recent changes.
Elliott underscored ANZ's commitment to customer support during difficult times, noting that nearly all customers who received payment deferrals have resumed loan repayments. For those still struggling, options like loan modifications are available.
Large corporate clients are reportedly well-capitalized and adapting to new economic realities by diversifying trade routes and investing in digital transformation. This adaptability is supported by Australia's robust banking system, which enables prudent lending practices essential for national recovery.
Reflecting on lessons from the Royal Commission, Elliott affirmed ANZ's dedication to fair customer treatment and compliance with new legislative measures arising from Commission recommendations.
As part of their operational strategy, ANZ plans to increase staff presence in city offices while maintaining flexibility through technology-enhanced work arrangements. Elliott concluded his remarks by acknowledging recent natural disasters affecting parts of Australia and reiterated ANZ's commitment to assisting impacted customers.