Reserve Bank of Australia Annual Report – 2007 Financial Statements Note 4
Note 4 INTEREST REVENUE AND INTEREST EXPENSE
Analysis
for the year ended 30 June 2007
| Average balance |
Interest | Average interest rate |
|||
|---|---|---|---|---|---|
| $M | $M | % | |||
| Interest revenue | |||||
| Overseas investments | 79,042 | 3,276 | 4.1 | ||
| Australian dollar securities | 33,227 | 2,056 | 6.2 | ||
| Overnight settlements | 949 | 56 | 5.9 | ||
| Gold loans | 2,119 | 11 | 0.5 | ||
| Loans, advances and other | 19 | 1 | 5.0 | ||
| 115,356 | 5,400 | 4.7 | |||
| Interest expense | |||||
| Banks’ Exchange Settlement balances | 805 | 47 | 5.9 | ||
| Deposits from governments | 50,350 | 3,093 | 6.1 | ||
| Deposits from overseas institutions | 2,183 | 9 | 0.4 | ||
| Currency note holdings of banks | 2,937 | 179 | 6.1 | ||
| Overseas repurchase agreements | 10,175 | 470 | 4.6 | ||
| Domestic repurchase agreements | 962 | 58 | 6.0 | ||
| Other deposits | 16 | 1 | 2.8 | ||
| 67,428 | 3,857 | 5.7 | |||
| Analysis for the year ended 30 June 2006 | |||||
| Interest revenue total | 88,569 | 3,477 | 3.9 | ||
| Interest expense total | 43,373 | 2,174 | 5.0 | ||
Interest revenue for 2006/07 includes $4,372 million calculated using the effective interest method for financial assets not at fair value through profit and loss ($2,588 million in 2005/06). Interest expense for 2006/07 includes $3,857 million calculated using the effective interest method for financial liabilities not at fair value through profit and loss ($2,174 million in 2005/06).