(14 September 2026 – Global) Learn from East & Partners analysts “on the ground” global corporate banking insights with a finger on the pulse of what is moving financial markets according to CFOs, treasurers and key decision makers.
Business Credit Growth in Focus
As Australian banks recorded their strongest post-pandemic month for business lending in June according to the Australian Prudential Regulation Authority (APRA), how are debt capital markets poised in the midst of a widespread bond market sell-off?
Sovereign and corporate debt markets are being pressured by a surge of heavy borrowing by both companies and governments. This includes businesses seeking capital for data centre investment and AI-related projects. In the US, corporates have issued almost US$1.7 trillion in corporate bonds this year, an increase of 27 percent year-on-year.
The US national debt is on track to surpass US$50 trillion by 2029, and the US has spent about$U$S1.4 trillion on interest payments in the past year.
A surge in bond yields has occurred as investors confront multiple headwinds including persistent inflation and rising government debt as the US Treasury announced it would increase debt buybacks in an attempt to relieve pressure on long term yields.
Over the past year, lending to non-financial enterprises has expanded by A$120 billion, an increase of 11 percent, led by CBA up and NAB.
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”.
Enhanced MFI Insight
Expanding on last round’s insight into the primary reason for engagement differing between cash management and lending, East & Partners asked New Zealand Commercial enterprises – who is your primary transaction bank for cash management and payment processing and who do you consider to be your main financial institution (MFI)?
How much does this differ by bank and why?
Significant variance was observed between individual banks including the Big Four (ANZ / ASB / BNZ / WBC), International Banks (Citi / HSBC) and Other banks (Kiwibank, Others).
“Some banks appear to use transaction banking mainly to support relationships they already own. Others appear to be using it to win operating relationships they do not yet own” commented Red Matter Managing Director and Founder, Iain Taylor.
“The strategic question becomes whether TB can be used more deliberately as an attack capability: win the operating relationship first, embed the bank in the clients flows and operating model, and then use that position to compete for MFI status and wider wallet.”
“If TB is already winning relationships beyond the bank’s MFI footprint, how effectively is the rest of the bank converting those operating footholds into broader relationship primacy?”
Main Financial Institution
% of Total
Source: East & Partners Cash & Payments New Zealand Service – September 2026 (N: 639)
What Do Transaction Banking Clients Really Want?
CFOs and treasurers are increasingly vocal about what they want from their transaction bank. In the New Zealand market, the top three improvements Commercial “middle market” enterprises are demanding are:
- A closer understanding of their specific business needs (40.5%)
- Lower bank fees and charges (18%)
- Sector-specific expertise (13.1%)
When clients do switch, their decisions are led by:
- Better pricing (31.3%)
- More flexible terms (20.3%)
- Improved customer support (18.8%)
Other pain points include a lack of proactive engagement, opaque fees, and underwhelming digital features. In short, if banks don’t meet expectations, treasurers are increasingly willing to “vote with their feet.”
Winning even partial wallet share from an incumbent TB provider is difficult, time-intensive, and expensive. Yet the potential upside is significant: transaction banking remains the anchor of the corporate relationship, and capturing TB share often translates into wider lending, FX, and trade finance flows.
The lesson for banks is simple but urgent: success now hinges on understanding your clients at a granular level – by sector, by business model, by growth trajectory. Client identification has become a make-or-break factor for sustaining TB success.
As competition intensifies and churn accelerates, the banks that invest in evidence-based, client-driven insights will be the ones to consolidate share while others leak it.
At East & Partners, we specialise in Voice of the Customer insights, evidence-based analysis that helps banks cut through the noise and focus on what clients truly value.
Top Into the Voice of the Treasurer – East on Demand
Generate turnkey solutions for these evolving, difficult to quantify thematics with the East on Demand platform.
Monthly fieldwork enables clients to directly interrogate CFOs and treasurers on any question, in any market with rapid voice of the customer insights generated within two weeks.
Clients utilise the platform for quickfire thought leadership and marketing campaign proof points and support, product and service development, defining a new business case, driving sales pipelines, forecast customer needs and much, much more.
Get in touch to find out what we would ask if we were in your shoes – East analysts compile a quarterly list of questions inspired by our unique understanding of the market, driven by client conversations, corporate interviews and market movements.
Don’t miss out on the next round closing 19 September 2026.
Analyst Meeting Insights in Review
The August Analyst Meeting Insights highlights key emerging thematics influencing strategic decision making including:
- What Makes an MFI an MFI in the Eyes of Leading CFOs and Treasurers?
- Is a main financial institution (MFI) viewed more as a primary transaction bank or lender?
- What Separates Leading Transaction Banks From the Rest?
- Customer switching intent has accelerated to a record high
- More FX Exposure = More Hedging
- Currency risk management stepping up according to latest CommBank FX Barometer
Risk management is a critical competitive differentiator as geopolitical risks, AI-driven cyber threats and stablecoin payments evolutions reshape treasury, correspondent banking, and supply chain strategies for corporates worldwide.