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The PSCE outlook could see several implications from policy introductions announced in the FY ‘24/25 Budget Speech. Total PSCE growth accelerated to 2.6% y/y in Jan ’24, up from 2.0% in Dec ’23 but down from 6.8% in Jan ’23. Business credit growth is up to 2.1% y/y from 0.4% in Dec ’23 and -0.6% in Jan ’23 thanks to uptake in the manufacturing, energy and agriculture sectors – overdrafts up 5.7% m/m. Household credit growth decelerated to 2.6% y/y from 3.0% in Dec ’23 and 4.9% in Jan ’23 but also saw a significant increase in overdrafts (+4.9% m/m).