Non-banks to benefit from US-dollar securitisation

By Andrea Cornish | 2/07/2010 5:50:00 AM | 0 comments

Smaller lenders and non-banks in Australia could get a much-needed boost by repackaging asset-backed debt into US-dollar securities.

Members Equity and Macquarie Group demonstrated earlier this week that there is a demand for US-dollar asset-backed securities from foreign investors, after their bids received a warm reception.

The issues are the first US-dollar securitisations by Australian banks since before the GFC.

According to a report in The Wall Street Journal, if the deals succeed other lenders could be keen to follow.

Competition in Australian has been reduced over the last two years as non-banks and smaller lenders have found it increasingly difficult to find funding.

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