(8 November 2010 – Australia) Ralph Norris, chief executive of the Commonwealth Bank of Australia, has defended the bank’s shock interest rate decision to raise rates 20 basis points above the Reserve Bank of Australia.Mr Norris said over the weekend that he knew the decision would cause political and public backlash, however he had to make his business sustainable.
Mr Norris added that the bank preferred to increase rates in one large hit opposed to two smaller increases.
The Commonwealth Bank’s big four rivals, ANZ, NAB and Westpac, are yet to reveal if they’ll raise their rates.