$231.3bn
$XX.Xbn
167k
41
$XX.Xbn
Banks are grappling with a transition from years of loose monetary policy to tighter financial conditions. Soaring inflation has prompted an RBA pivot in the face of surging energy, housing and food prices. The RBA has hiked the cash rate multiple times since May 2022. Prior to this, banks cashed in on high residential housing prices, with low interest rates and government schemes encouraging strong mortgage uptake over the course of the pandemic. APRA also eased the interest rate buffer in 2019, before raising it in 2021. Recent interest hikes have pushed up banks' incomes over the past few years. Meanwhile, banks' interest deposit expenses and funding costs have also risen while climbing interest rates have subdued growth in industry profit margins over the past few years. Overall, industry revenue is expected to expand at an annualised 6.9% over the five years through 2024-25, to $231.3 billion. This includes an anticipated slump of 8.1% in 2024-25; as inflationary pressure shows signs of easing, the cash rate is set to decline, weighing on interest income.
Industry revenue has grown at a CAGR of 6.9 % over the past five years, to reach an estimated $231.3bn in 2024.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2025 | Revenue ($m)
2025 |
---|---|---|
NAB | 57,300.0 | |
Commonwealth Bank of Australia | 47,800.0 | |
Westpac | 47,600.0 |
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Industry revenue is measured across several distinct product and services lines, including Home loans, Business loans and Personal lending. Home loans is the largest segment of the National and Regional Commercial Banks in Australia.
Banks are braced for change as cash rate hikes ripple through the home loans segment
Industry enterprises are Australian-owned and -operated banks engaged in banking activities. National and regional banks primarily generate revenue through interest income on consumer and commercial loans, incurring liabilities through accepting deposits. Industry operators also generate revenue from investments, advances, fees and commission income.
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ANZSIC 6221 - National and Regional Commercial Banks in Australia
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Cash rate rises are challenging banks. The RBA’s sharp cash rate hikes are boosting interest rates, with banks getting more interest income per loan. However, interest expens...
Learn about an industry's products and services, markets and trends in international trade.
High interest rates have hit home loans. In the home loans segment, high interest rates have meant greater returns from existing loans. On the other hand, steep borrowing cos...
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Sydney is Australia’s financial capital. New South Wales is home to most the branches, with banks setting up shop close to consumer, business and institutional markets.
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
The big four banks reign supreme. CBA, Westpac, NAB and ANZ control most domestic banking. These banks boast solid reputations, with extensive physical and digital presences ...
Learn about the performance of the top companies in the industry.
Major banks focus on their core markets. The big four have restructured in recent years, cutting their global footprint to focus on core activities in Australian and New Zeal...
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Capital adequacy ratio reforms will stabilise banks. New capital adequacy ratios came into effect in January 2023 to improve financial stability, with major banks forced to m...
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Interest rate spread keeps banks profitable. Banks need to get more from their interest income than they spend on their interest expenses. Banks will have to manage their exp...
Including values and annual change:
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Key data sources in Australia include:
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These sources include:
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The market size of the National and Regional Commercial Banks industry in Australia is $231.3bn in 2024.
There are 41 businesses in the National and Regional Commercial Banks industry in Australia, which has declined at a CAGR of 0.5 % between 2019 and 2024.
The market size of the National and Regional Commercial Banks industry in Australia has been growing at a CAGR of 6.9 % between 2019 and 2024.
Over the next five years, the National and Regional Commercial Banks industry in Australia is expected to grow.
The biggest companies operating in the National and Regional Commercial Banks market in Australia are NAB, Commonwealth Bank of Australia and Westpac
Home loans and Business loans are part of the National and Regional Commercial Banks industry.
The company holding the most market share in Australia is NAB.
The level of competition is high and increasing in the National and Regional Commercial Banks industry in Australia.