MW: Australian economy, banks relatively strong: RBA
By Sarah Turner
SYDNEY (MarketWatch) -- The Australian financial system and broader economy remains relatively strong, the Reserve Bank of Australia said Thursday in its quarterly financial stability review. Economic growth has broadly returned to trend, and the financial strength of Australian banks has continued to improve recently, the RBA said. "The flow of bad debt charges has generally peaked, while the stock of non-performing assets on banks' balance sheets appears to be stabilizing at a level that remains low in comparison with previous cyclical experience," the RBA said. It believes that the country's banks are well placed to meet proposed new capital standards.
