National Australia Bank Ltd. (NAB), which has gained mortgage market share from its rivals in the past three years, expects the pace of that growth to slow as competition intensifies amid low credit expansion.
“I think competitors are back,” Cameron Clyne, chief executive officer of the country’s biggest bank by assets, said in an interview in Sydney today. “You have got four big banks built around big levels of origination and if there is less origination they tend to fight for it more aggressively.”
Clyne has led the push into the A$1.1 trillion ($1.2 trillion) Australian mortgage market by offering the lowest home-loan rate among the country’s four-largest banks. National Australia’s mortgage-market share increased to 15 percent by August 2012 from 12.8 percent in August 2009, company filings show. It remains the third-largest mortgage lender in the country, behind Commonwealth Bank of Australia and Westpac Banking Corp. (WBC)
National Australia, Commonwealth Bank, Westpac and Australia & New Zealand Banking Group Ltd. (ANZ) control 85 percent of the mortgage market, which is expanding at close to the slowest pace since records began in 1977.
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