Trade finance wound back

As with business and personal overdrafts, trade finance lending went into reverse during the September 2008 half year at ANZ.

Working capital outstandings jumped 20 per cent for the year to $8.3 billion, but declined three per cent over the last six months.

The second half slowdown pattern is consistent across lending types, with corporate finance relationship lending jumping 26 per cent for the year to $58.4 billion, with only six per cent of the gains in the second half.

Corporate finance was up over a third for the twelve months to $15.4 billion, with the second six months growing slower at 15 per cent.

Business banking was up twelve per cent for the year to $18.6 billion, with second half growth five per cent.

Australian hire purchase outstandings increased nine per cent to $10.7 billion for the year, with only four per cent growth in the second half. Lease finance fell two per cent for the year to $1.8 billion.

New Zealand hire purchase increased five per cent for the year to NZ$529 million, although the second half movement was a drop of two per cent. Lease finance fell one per cent for the year to NZ$248 million.

Asset and lease finance growth reported by National Australia Bank earlier in the week displayed the same second half slowdown, increasing nine per cent for the year to $13.4 billion, with only three per cent of the growth in the second half.