THE BIG $1s, page-189

Trump’s tariffs → Global slowdown → Lower export demand for Australia → Disinflation or deflation → RBA cuts interest rates to stimulate economy.

BNPL (Buy Now Pay Later) Sector

BNPL providers like Zip, etc., can benefit because:

• Lower interest rates mean cheap funding costs for BNPL operators.

• Consumers may turn to alternative credit options (like BNPL) if traditional credit tightens.

• Deflationary pressure keeps product prices low, making small purchases more attractive, boosting BNPL usage.

• With slower wage growth, BNPL gives consumers flexibility without interest (short term), boosting volumes.

Bottom line: Lower rates + tight credit + weak retail spending = More BNPL adoption.


IMO...DYOR