Australian banks’ charges for rates risk soar 66% in Q1

- By Lorenzo Migliorato
- 13 May 2022

Capital charges to cover interest rate risk in the banking book (IRRBB) at the top four Australian dealers soared in the first quarter as a steepening yield curve eroded the banks’ capital-generating potential.

Across ANZ, Commonwealth Bank of Australia, National Australia Bank and Westpac, risk-weighted assets (RWAs) for IRRBB totalled A$127.9 billion ($98 billion) as of end-March, up 67%

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to print this content. Please contact info@risk.net to find out more.

You are currently unable to copy this content. Please contact info@risk.net to find out more.

As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.

If you would like to purchase additional rights please email info@risk.net

You may share this content using our article tools. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.

If you would like to purchase additional rights please email info@risk.net