APRA releases quarterly authorised deposit-taking institution statistics for March 2024
The Australian Prudential Regulation Authority (APRA) has released the Quarterly Authorised Deposit-taking Institution (ADI) Performance and the Quarterly ADI Property Exposures publications for the quarter ending 31 March 2024.
ADIs are well-capitalised and well-positioned to navigate through potential economic challenges on the horizon. Capital ratios reached a new high, despite narrowing margins and slowing profit growth. Profit levels remained in line with levels seen over the past decade. Liquidity and funding levels remained well above minimum requirements. ADIs’ liquidity positions remained strong in the lead up to the final repayments of the Term Funding Facility in the June 2024 quarter. Non-performing loans increased, but potential credit losses are mitigated by high levels of well-secured loans.
Residential mortgage credit growth moderated, but remains above pre-pandemic levels, despite higher interest rates and pressure on ADIs’ lending margins.
Strong demand in the industrial sector supported growth in commercial real estate lending, although the overall rate of growth continued to slow. Non-performing commercial real estate exposures increased but remained at low levels.
Key statistics for ADIs1 for the March 2024 quarter were:
| March 2023 | March 2024 | Year on Year Change |
|---|---|---|---|
Net profit after tax (year-end) | $41.2 billion | $39.4 billion | -4.3% |
Total assets | $6,090.4 billion | $6,205.3 billion | +1.9% |
Total capital base | $428.3 billion | $449.0 billion | +4.8% |
Total risk-weighted assets | $2,189.5 billion | $2,192.9 billion | +0.2% |
Total capital ratio | 19.6% | 20.5% | +0.9 percentage points |
Liquidity coverage ratio | 137.7% | 136.5% | -1.2 percentage points |
Minimum liquidity holdings ratio | 17.8% | 17.8% | stable |
Net stable funding ratio | 121.7% | 118.2% | -3.5 percentage points |
Key statistics for ADIs conducting residential mortgage lending for the quarter were:2
| March 2023 | March 2024 | Year on Year Change |
|---|---|---|---|
Residential mortgages – credit outstanding | $2,141.5 billion | $2,230.0 billion | 4.1% |
of which: Owner-occupied | $1,424.0 billion | $1,493.5 billion | 4.9% |
of which: Investment | $642.7 billion | $667.0 billion | 3.8% |
Residential mortgages – credit outstanding | March 2023 (share of total) | March 2024 (share of total) | Year on Year Change |
|---|---|---|---|
Owner-occupied | 67.5% | 67.8% | +0.3 percentage points |
Investment | 30.5% | 30.3% | -0.2 percentage points |
LVR ≥ 80 per cent | 19.0% | 17.8% | -1.2 percentage points |
Loans 30-89 days past due | 0.5% | 0.7% | +0.2 percentage points |
Non-performing loans | 0.7% | 1.0% | +0.3 percentage points |
| March 2023 quarter | March 2024 quarter | Change |
|---|---|---|---|
New residential mortgage loans funded | $132.8 billion | $131.1 billion | -1.2% |
New residential mortgage loans funded during the quarter | March 2023 (share of total) | March 2024 (share of total) | Change |
|---|---|---|---|
Owner-occupied | 67.8% | 64.6% | -3.2 percentage points |
Investment | 30.3% | 33.2% | +2.9 percentage points |
LVR ≥ 80 per cent | 29.0% | 31.1% | +2.1 percentage points |
Debt-to-income ≥ 6x | 7.5% | 5.2% | -2.3 percentage points |
Key commercial property statistics for ADIs for the March 2024 quarter were:
| March 2023 | March 2024 | Year on Year Change |
|---|---|---|---|
Total commercial property limits | $437.3 billion | $449.9 billion | 2.9% |
Total commercial property actual exposures | $403.7 billion | $419.0 billion | 3.8% |
The Quarterly ADI Performance publication contains information on ADIs’ financial performance, financial position, capital adequacy, asset quality, liquidity and key financial performance ratios.
The Quarterly ADI Property Exposures publication contains data on commercial and residential property exposures, including detail on risk indicators, serviceability characteristics and non-performing loans.
Copies of the March 2024 publications are available at: Quarterly authorised deposit-taking institution statistics.
Footnotes:
1 Excluding ADIs that are not banks, building societies or credit unions.
2 See Explanatory Notes of QPEX for details of share calculations.
Media enquiries
Contact APRA Media Unit, on +61 2 9210 3636
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For more information contact APRA on 1300 558 849.
The Australian Prudential Regulation Authority (APRA) is the prudential regulator of the financial services industry. It oversees banks, mutuals, general insurance and reinsurance companies, life insurance, private health insurers, friendly societies, and most members of the superannuation industry. APRA currently supervises institutions holding around $9 trillion in assets for Australian depositors, policyholders and superannuation fund members.