(29 October 2009 – Australia) National Australia Bank chief executive Cameron Clyne says the bank will offer competitive interest rates on loans but declined to guarantee future increases will not exceed those made by the Reserve Bank.Mr Clyne said he expects the Reserve Bank of Australia (RBA) to move the official cash rate up from the current 3.25 percent to 5.25 percent over the next year.
However, Mr Clyne highlighted that NAB would aim to limit the rate rise passed on to customers to that of the RBA’s official interest rate.
Mike Smith, chief executive officer, ANZ earlier this week said that ANZ would limit future interest rates to only official move made by the RBA.