Australia’s Private Sector Credit Growth Steady at 0.7%

2026-06-30 02:07 By Judith Sib-at 1 min. read

Australia’s private sector credit rose by 0.7% month-over-month in May 2026, matching the growth recorded in both March and April and slightly exceeding market expectations of a 0.6% rise.

Housing credit, which accounts for 62% of total private credit, increased by 0.5%, easing from a 0.6% gain in the previous month amid slower growth in both owner-occupier credit (0.4% vs 0.5% in April) and investor credit (0.8% vs 0.9%).

Meanwhile, business credit, representing 34% of the total, increased by 1.0%, following a 0.7% rise in April, while other personal credit, accounting for the remaining 4%, advanced by 0.6% after a 0.2% increase.

Yearly, private sector credit grew by 8.2%, the largest increase since November 2022, following an 8.0% rise in April.

Annual growth in housing credit remained steady at 7.5%, while that of business credit (9.9% vs 9.6%) and other personal credit (4.4% vs 4.3%) picked up.

The continued expansion in credit came despite tighter monetary policy from the RBA.



News Stream
Australia Private Credit Rises 0.6% for 3rd Month
Australia’s private sector credit rose by 0.6% month-over-month in September 2026, slightly exceeding market expectations for a 0.5% increase but matching the pace recorded in the previous two months. Housing credit growth remained steady at 0.4%, while business credit held at 0.9%, indicating stable borrowing activity across both segments. Meanwhile, other personal credit growth slowed to 0.3% from 0.7% in August, pointing to weaker momentum in household borrowing outside housing. On an annual basis, private sector credit growth held steady at 8.4%, unchanged from August, suggesting overall credit expansion remained firm.
2026-10-30
Australia Private Credit Growth Steady at 0.6%
Australia’s private sector credit rose by 0.6% month-over-month in August 2026, slightly above market expectations for a 0.5% gain but the same pace as in the previous month. Housing credit, representing 62% of total private credit, increased by 0.4%, marking the softest rise since January 2025 and slowing from a 0.5% gain in July amid slower growth in investor credit (0.3% vs 0.4%), while owner-occupier credit held steady at 0.5%. Additionally, business credit, which accounts for 34% of total private credit, grew by 0.9%, the weakest growth in four months and easing from a 1% increase in July. Meanwhile, other personal credit, making up the remaining 4%, rose faster at 0.7%, following a 0.5% rise in the prior month. On an annual basis, private sector credit rose by 8.4%, matching the increase recorded in July. Annual growth in housing credit slowed to 7.3% from 7.5%, while business (10.9% vs 10.6%) and other personal credit (5.1% vs 4.8%) rose at faster pace.
2026-09-30
Australia Private Credit Growth at 5-Month Low
Australia’s private sector credit rose by 0.6% month-over-month in July 2026, marking the softest growth since February and slowing from a six-month high of 0.8% in the previous month. Housing credit, representing 62% of total private credit, increased by 0.5%, the softest rise in a year and easing from a 0.6% rise in June amid slower growth in investor credit (0.5% vs 0.8%), while owner-occupier credit held steady at 0.5%. Additionally, business credit, which accounts for 34% of total private credit, grew by 0.9%, down from 1.1% in June, while other personal credit, making up the remaining 4%, increased by 0.3%, slowing from 0.9%. On an annual basis, private sector credit grew by 8.4%, easing from an 8.6% gain in the preceding period, which was the strongest yearly expansion since October 2022. Annual growth in housing credit edged down to 7.4% from 7.5%, while business credit growth eased to 10.6% from 11% and other personal credit growth remained unchanged at 4.7%.
2026-08-31