Revenues from loans and other assets will also https://www.rba.gov.au/speeches/2018/sp-ag-2018-09-19.html  4/16  20/09/2018  Money – Born of Credit? | Speeches | RBA  have to cover the operating costs of the bank, while allowing it to earn a profit so that shareholders can earn a reasonable return on the bank's capital.
All of these considerations imply that money creation occurs at some cost, which serves to constrain the extent of lending. These constraints are reinforced by regulatory requirements for liquidity, capital adequacy and lending standards set by the Australian Prudential Regulation Authority.