25/09/2008 - 14:52

Aussie banks looking good - ANZ chief

25/09/2008 - 14:52

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ANZ Banking Group Ltd chief executive Mike Smith says Australian banks are looking very strong, despite the current financial market turmoil.

Aussie banks looking good - ANZ chief


ANZ Banking Group Ltd chief executive Mike Smith says Australian banks are looking very strong, despite the current financial market turmoil.

"The thing about the Australian banks is that they will come through this crisis extremely well," he said.

"They are looking very strong."

Mr Smith said the Reserve Bank of Australia had been ahead of game in dealing with the ramifications of the crisis, which began in the US.

He said others could learn from what the central bank had done.

In its financial stability review released today, the RBA gave the local banking industry a tick of approval and said it welcomed the "unprecedented" actions by US authorities to preserve financial stability and ease pressures in global credit markets.

Mr Smith said members of the public money was safe with the institutions.

"They (Australian banks) are among the safest in the world," he said.

"They are some of the best banks in the world".

Mr Smith didn't commit to bringing down interest rates if the RBA made further cuts, instead saying the ANZ would wait and see.

The RBA this month cut the official cash rate by 25 basis points to seven per cent, in a move that was followed by the all the major banks which cut their variable mortgage rates.

The RBA is expected to make a further 25 basis points cut next month.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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