Australia Private Credit Growth Below Forecasts

2025-06-30 01:43 By Czyrill Jean Coloma 1 min. read

Australia's private sector credit edged lower to 0.5% month-over-month in May 2025, compared to market expectations and prior month's 0.7%.

The slowdown was mainly driven by a deceleration in business loans, which ticked down 0.8% compared to 1% in April.

Meanwhile, personal loans edged up to 0.5% in May from 0.3% in the previous month, while housing credit growth remained steady at 0.5%.

On an annual basis, private sector credit grew by 6.9% in May — the fastest pace since February 2023 — from a 6.7% gain in the previous month.



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