5601.0 - Lending Indicators, Feb 2020 Quality Declaration 
Latest ISSUE Released at 11:30 AM (CANBERRA TIME) 08/04/2020 Released Today  
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Data quality note
From July 2019 onwards, data in this publication has been sourced from the Economic and Financial Statistics (EFS) collection, a new and improved data source. There have been extensive and ongoing discussions with lenders about the EFS collection, however only eight reporting periods have been collected on the new basis. Data quality is therefore expected to continue to improve over time, as lenders become accustomed to the new reporting basis and further refine the data they report. This process is likely to lead to revisions, including to the historical time series.

Please note that specific data quality issues have been identified with the reporting of detailed housing loan purpose categories, particularly for loan commitments for the purchase of newly erected dwellings. Some loan commitments for the purchase of existing dwellings are being incorrectly reported as being for the purchase of newly erected dwellings. The magnitude of misreporting for this issue is still being investigated.

Revisions
Seasonally adjusted data for all housing series have been revised to account for the impact of conceptual changes introduced in the EFS collection that has led to a shift in the seasonality of reported data. The impact of revisions is most notable for recent months.

Original data has also been revised to incorporate updated information from reporting entities.

Lender type breakdowns
Lender type breakdowns for Major banks, Other Authorised Deposit-taking Institutions (ADIs) and Non-ADIs are only available in this publication from July 2019 onwards. It is likely that more information about lender-type breakdowns will become available in the coming months.

Managing the impact of Coronavirus (COVID-19) on loan commitments statistics

The ABS is currently monitoring for potential impacts from the Coronavirus (COVID-19) on loan commitments statistics and will continue to do so for the period of the pandemic.

Quality assurance of data for the February 2020 quarter did not identify any notable impact to headline statistics. It is important to note that the reference date for February fell at a point where there was only a relatively low number of confirmed COVID-19 cases within Australia and before it was declared a global pandemic.

The ABS and APRA are actively managing the potential risks from COVID-19 to data collection operations. The ABS appreciates the support of APRA and lending institutions in continuing to provide the data used to compile this publication.


Key statistics
In February 2020, new loan commitments:

  • fell 1.7% for housing (seasonally adjusted)
  • fell 0.5% for personal fixed term loans (seasonally adjusted)
  • fell 1.6% for business construction (trend)

New loan commitments
February 2020
Month percent change
Year percent change
$b
%
%

Seasonally adjusted

Households
Housing
19.46
-1.7
13.1
Owner occupier (a)
14.15
-1.7
15.8
Investor (a)
5.31
-1.9
6.3
Personal
Fixed term loans
1.83
-0.5
10.1
Businesses
Construction
2.33
8.9
-19.8
Purchase of property
5.25
13.4
1.6

Trend

Households
Housing
19.61
0.4
16.9
Owner occupier (a)
14.24
0.6
20.1
Investor (a)
5.37
-0.1
9.3
Personal
Fixed term loans
1.85
1.5
12.1
Businesses
Construction
2.73
-1.6
15.7
Purchase of property
4.92
1.3
-11.6

(a) Loan commitments for owner occupier and investor housing exclude refinancing.



Key graphs

While the value of new lending commitments for housing fell in February, the value is up 19.8% from the most recent low point in May 2019
New loan commitments, total housing (seasonally adjusted), values, Australia

Graph 1: New loan commitments, total housing (seasonally adjusted), values, Australia


Fixed term loan commitments for personal finance have generally been increasing over the past 12 months, despite the fall in February
New loan commitments, personal fixed term loans (seasonally adjusted), values, Australia

Graph 2: New loan commitments, personal fixed term loans (seasonally adjusted), values, Australia


Both the value of new loan commitments to business for construction and for the purchase of property rose in seasonally adjusted terms in February
New loan commitments, business finance by purpose, values, Australia

Graph 3: New loan commitments, business finance by purpose, values, Australia


New ABS website
The ABS will be launching a new website in 2020. You will soon be able to see how this release will appear on the new website by exploring our Beta site. Regular users of this information are encouraged to explore the Beta site and consider if this will affect the way you access and consume ABS data and information. If you would like more information on the new ABS website, or want to discuss how the transition to the new site might impact you, please email newABSwebsite@abs.gov.au.


Forthcoming issuesRelease Date

March 202012 May 2020
April 2020 10 June 2020
May 2020 9 July 2020
June 2020 7 August 2020