Loans to businesses like this from our lovely big 4 banks have interest rates through the roof.
The banks make billions, but the rot is starting to occur.
Businesses will have trouble surviving with expensive credit, high dollar, carbon tax, lack of investment and spending by the public due to massive private debt levels, banks probably raising rates soon to help re-finance their avalanche of expiring post GFC bonds, causing further contraction of spending and investment, and even more businesses going to the wall.
The only good thing to come of all this if it goes down this way, is cheaper housing.
With the amount of anticipation for ANZ's announcement today, you'd think it was an RBA rate setting decision day. If ANZ raises and the others follow, the RBA will look like a git sitting in the driver's seat of a B double truck with no steering wheel.
