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From my understanding Basel II framework dictates what is acceptable measurement of risk within the Banking and Finance industry. APRA then tries to fit the framework as best it can into a policy/legislation for the Australian B&F industry. The banks then set their risk measurement and lending...

I think small business will need to get creative in finding non bank funding if rates rise above their means. It is my belief/opinion/understanding that banks calculate spreads on risk. commercial lending from what I understand equal greater risk to banks than resi lending. Therefore...