Moody's Investors Service has released a report confirming the outlook as 'stable' for the Australian banking system. Moody's said this reflects the banks' increasing capital buffers and stable profitability that will offset the risks that they face over the next 12-18 months. While asset quality remains very strong, Moody's warns that levels of problem loans could begin to rise from cyclical lows and, consequently, "system-wide asset quality could deteriorate modestly". But the ratings agency says risks in the housing market, however, are not likely to increase further, with regulatory measures curbing growth in riskier housing loans, and repricing likely to prop-up the net interest margins and profitability of Australian banks into next year. Apple Pay is now available to customers of BNZ (National Australia Bank's New Zealand subsidiary) who have an Apple device and eligible BNZ visa card. Yesterday's launch means BNZ joins ANZ as the only kiwi deposit takers offering Apple Pay, although, unlike ANZ, BNZ is only offering the service with credit cards and not debit cards. The launch adds to speculation that parent NAB might soften and finally add an Apple Pay capability to its mobile banking app in Australia. Earlier this year NAB joined with three other banks (CBA, ANZ and Bendigo) to negotiate a collective deal with Apple Pay, but the move was blocked by the ACCC. NAB and the other banks wanted Apple to give iPhone users the ability to access bank-owned digital wallets that compete against Apple Pay.