Bank of Queensland (BoQ) is poised to post a full-year loss, the first time an Australian bank has done so in 20 years.
On Friday, BoQ said it expected to post a loss of up to $20.6m for the year up to August 31st.
It said the struggling south-east Queensland property market, and a large increase in the bank’s provisions for bad debts, was a major contributor.
"The bank continues to be hurt by its over exposure to a Queensland economy and its uneven property market," Patersons analyst Tony Farnham said.
BoQ has already posted a$90.6m loss in the first half of the year.
However, the bank is also one of few lenders to pass on the RBA
’s rate cut last week, slashing 20 basis points from its rates.