SYDNEY, April 5 (Reuters) - The head of Australia’s banking watchdog said on Wednesday authorities can take further action if needed to restrain runaway home prices, following measures announced last week.
The chairman of Australian Prudential Regulatory Authority (APRA) Wayne Byres was talking at an industry conference in Sydney.
Last week, APRA asked banks to limit new interest-only lending to 30 percent of total new residential mortgage lending, from 40 percent now. It also demanded that banks limit investor credit to “comfortably remain below” a previously set cap of 10 percent annual growth. (Reporting by Jamie Freed; Editing by Richard Pullin)