Banks get set to lend again

Analysts expect borrowing rates for business to fall as banks compete aggressively for new business, and as they try to fend off competition from overseas banks who are also looking at the post recessionary Aussie economy as a place to do business while many of their own economies are still in the mire.

Australian bank loans to businesses other than finance houses rose in August for the first time in four months, reaching $486bn. Opinions are divided on whether the overall loans will grow in the coming year, or whether the big four banks will be limited to attempting to wrestle market share from smaller banks and non-bank financial institutions.

Either way printers may benefit in any thaw in the big freeze in bank lending that has impacted the ability of printers to upgrade their equipment. The lack of funding ahs mainly affected the offset print industry, as many of the digital print vendors have been financing their customers purchase themselves.

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