Australian banks defer $130b in loans

100,000 loans were deferred in the past week.

Australian banks have deferred payments on at least $130b (A$200b) in loans, with 100,000 loans deferred in just last week, reports Reuters.

Half of the deferred 100,000 loans were mortgages, bringing total deferrals to 643,000, according to the Australian Banking Association.

Most major banks have lifted their loss provisions in case of defaults, deferred or slashed their dividends and raised new capitals to weather the economic slump.

The Reserve Bank of Australia foresees economic output to plunge by 10% in H1 2020.

Here’s more from Reuters.