Money getting tighter on global market
(22 November 2011 – Australia) National Australia Bank chief Cameron Clyne warned that a new credit squeeze is "increasingly real" and would impact on future interest rates.
Clyne warned the audience at the QUT Business Leaders’ Forum in Brisbane over the weekend that funding markets were "very constrained" as Europe grappled with a ballooning debt crisis.
'Money is very tight out there at the moment, it is increasingly concerning what is going to happen," Clyne said.
Clyne said banks faced the twin challenges of not only sourcing money but deciding how much they were willing to pay for it.
As a result, the interest rates charged by all banks would be influenced by more than just the fluctuations of the Reserve Bank cash rate, he said.
Since taking the helm in January 2009, Clyne has won plaudits for revitalising the bank's brand by cutting unpopular fees and charges.
NAB's 'break up'' campaign launched last Valentine's Day to win over new clients from rival banks has already attracted 450,000 new customers, he said.
The bank reported a 20 percent jump in cash profit to a record A$5.5 billion in the last financial year.
Clyne said his two-year rebranding campaign had been fuelled by a "mood for change'' and "an absolute desire to do something different''.
The efforts had not only lifted staff morale but boosted the bank's retail arm, which had previously been dwarfed by its business banking section.
'Money is very tight out there at the moment, it is increasingly concerning what is going to happen," Clyne said.
Clyne said banks faced the twin challenges of not only sourcing money but deciding how much they were willing to pay for it.
As a result, the interest rates charged by all banks would be influenced by more than just the fluctuations of the Reserve Bank cash rate, he said.
Since taking the helm in January 2009, Clyne has won plaudits for revitalising the bank's brand by cutting unpopular fees and charges.
NAB's 'break up'' campaign launched last Valentine's Day to win over new clients from rival banks has already attracted 450,000 new customers, he said.
The bank reported a 20 percent jump in cash profit to a record A$5.5 billion in the last financial year.
Clyne said his two-year rebranding campaign had been fuelled by a "mood for change'' and "an absolute desire to do something different''.
The efforts had not only lifted staff morale but boosted the bank's retail arm, which had previously been dwarfed by its business banking section.
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