In the absence of active financial intermediations, high-risk but high-return projects may end up not being undertaken, the technology spillover may be severely limited, and the economy may fall into stagnation. Indeed, it is Schumpeter who emphasizes the role of the “banker,” in addition to the role of the “entrepreneur” that carries out demand-creating innovation.
This graph shows housing loan repayments as a share of outstanding credit, broken down into interest payments and repayments of principal, including through higher balances in offset accounts (Graph 11). Graph 11  There are three points that I would draw your attention to.