COVID-19 has thrown up challenges even for the most established capital markets borrowers. The crisis is particularly acute for newer financial institutions with shorter track records and smaller asset books. Government support should help, but a protracted downturn could make survival of the fittest a best-case scenario.
Australia’s mutual banks are innovating in response to sector-wide issues. Participants at the KangaNews Mutual Sector Wholesale Funding Seminar 2021 – which took place in Sydney in May – discussed an evolving business and funding environment, and how mutual banks can deliver in their areas of competitive advantage.
MyState Bank made its senior-unsecured funding debut on 8 June. The issuer says the deal is in support of its plans to accelerate balance sheet growth as the Australian economy strengthens in the wake of COVID-19.