Financial Stability Review April 2021

Financial systems globally have been resilient to a substantial shock Financial systems in Australia and internationally have been resilient to the enormous COVID-19 health and economic shock. This has enabled them to cushion the economic impact of the pandemic, supporting the recovery through new lending and measures such as loan repayment deferrals. The financial sector reforms that followed the global financial crisis greatly contributed to this positive outcome. Banks hold substantially more high-quality liquid assets and have much higher levels of capital than a decade ago. Substantial policy support from … (full story)

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