(5 August 2026 – Australia) Australian banks recorded their strongest post-pandemic month for business lending in June according to the Australian Prudential Regulation Authority (APRA).
The latest Monthly Authorised Deposit Taking Institution Statistics revealed lending to non-financial enterprises increased A$19.3 billion over the month to $1.26 trillion, up 1.6 percent.
The June increase surpasses the May A$7.8 billion increase and March A$15.5 billion increase and represents the largest monthly increase since March 2020 when business credit jumped by A$33.5 billion as corporates protected their balance sheet with additional funding buffers at the outset of the COVID-19 pandemic.
Over the past 12 months, lending to non-financial enterprises has expanded by A$120 billion, an increase of 11 percent, led by CBA up 13.5 percent (A$29.1 billion) and NAB rising 10.9 percent (A$27 billion).
The Big Four majors represent a combined A$885.2 billion in lending to non-financial businesses as of June, holding more than 70 percent of all business lending. The Big Four majors added A$12.6 billion in aggregate business lending in June, accounting for 65 percent of all credit growth across the sector.
CommBank recorded the strongest monthly business lending growth among the majors, increasing A$4.2 billion to A$245 billion in June.
NAB retained its position as Australia’s largest business lender with its book reaching A$274.8 billion in June after lending balances increased by A$2.8 billion. The bank’s business and private banking division reported its strongest June month since the pandemic also.
Westpac increased A$3.3 billion to A$209.9 billion and ANZ rose A$2.3 billion to A$155.5 billion.
What proportion of the overall increase in business lending was derived from small businesses relative to large corporates? How does lending growth compare to the real battle ground for business banking – deposits?
East & Partners Deposit Funding & Debt Index (DFDI), based on APRA monthly banking statistics drawn directly from inputs from ADIs, overlays East’s demand-side segmentation analysis to produce valuable cuts of business deposit and lending volumes by segment.
“Through 2026, business banks continue to attract lower business deposit volumes relative to loan balances” commented East & Partners Global Head of Markets Analysis, Martin Smith.
““In which segments is CBA accumulating business deposits the most actively? Among large corporate enterprises or driven ‘bottom up’ by small businesses?” The research breaks down which segments are net depositors into the banking system vs net borrowers, highlighting for every dollar borrowed how much they deposit which provides a valuable extra level of detail on highly competitive business deposit flows”.