Big Bank heading back to the bush.
ANZ and Westpac are both looking at ways of rebuilding their rural branch networks.
The Australian Financial Review has reported that both banks are looking at models similar to that used by Bendigo Bank, which is not surprising given the good response that Bendigo has received for their initiative.
No doubt the rural community will be happy to hear that at least a couple of the majors have decided to launch an initiative. It is interesting to note that ANZ chief executive John McFarlane said; “…the frank reality was that the businesses were uneconomic.”
We believe this to be the central issue; why keep an uneconomic business running? I wonder if the shareholders hold a similar view.