The RBA released November 2010 financial aggregates last week.
Initial observations show that Business lending is stagnant and that business growth in bank deposits - indicating saving rather than increasing borrowing - accelerated to 10.6% over 12 months for non-financial firms, and 24% for financial firms.
Households home finance increased by 10% over the year (non-seasonally adjusted), with credit card growth lifting 7.5%, showing that the household sector is carrying the growth in bank balance sheets.
Also showing that there is life in spending are GST collections increasing by around 15% for the year to November.
Growth in Investment securities purchased by banks was $77 Billion (+66%), possibly reflecting accelerating Government Debt issuance. Federal Government outstanding debt closed the year at $174.8 Billion, an increase of $59 Billion for the year. The Government deficit adds income to the economy, so any politically induced cutbacks in spending will be felt by the household sector.
From the RBA website:
Release date: 31 December 2010
Total credit provided to the private sector by financial intermediaries rose by 0.3 per cent over November 2010, after rising by 0.1 per cent over October. Over the year to November, total credit rose by 3.6 per cent.
Housing credit increased by 0.5 per cent over November, following an increase of 0.6 per cent over October. Over the year to November, housing credit rose by 7.5 per cent.
Other personal credit increased by 0.5 per cent over November, after increasing by 0.2 per cent over October. Over the year to November, other personal credit increased by 2.4 per cent.
Business credit fell by 0.2 per cent over November, following a fall of 0.7 per cent over October. Over the year to November, business credit declined by 2.2 per cent.
Over the month of November, M3 rose by 1.1 per cent and broad money increased by 0.7 per cent. Over the year to November, broad money grew by 7.1 per cent.