With demand for business credit in the doldrums, banks are making credit easier and cheaper to obtain."From a risk management perspective, it is important that banks do not respond by imprudently loosening their lending standards," the Reserve Bank of Australia said in its latest Financial Stability Review, which was published yesterday."The available evidence suggests this is not occurring at this stage for most business customers."The RBA said an "exception is the 'wholesale' market (large value loans), where strong competition amid weak borrower demand has compressed loan margins and, in some instances, eased loan covenants."Aggressive competition from "some Asian-owned banks seeking to expand their business in Australia" is one factor cited by the RBA for this trend, though European-owned banks "have continued to pull back from business lending in Australia," the RBA said.