ANZ committed to independent rates policy

ANZ will not veer from its bold strategy to set interest rates independently of the Reserve Bank despite a customer backlash, the group's head of Australian banking Philip Chronican says.

Mr Chronican is convinced ANZ's policy of making its own rates decision on the second Friday each month is the right one.
But he concedes customers are unclear about the long-term impact on borrowing costs.

Mr Chronican said the banking sector's competitive nature meant ANZ would not stay out of step with its rivals for long in terms of lending rates. He said with customers increasingly saving cash, deposits had been the greatest source of recent cost rises.

Source: Herald Sun