Turning finally to monetary policy itself, as a result of the adjustment to the cash rate made in November, and the changes made by financial institutions to lending rates, interest rates being paid by borrowers are a bit above average compared with the past 15 years.
Household credit growth is quite modest and business credit is still declining, as firms continue to consolidate balance sheets and, in the case of larger companies, to access capital markets directly. Reports suggest that there is some easing of lending conditions in some areas but my sense is that, generally, lenders remain quite cautious.