ANZ CEO Nuno Matos has commenced his five-year strategy briefing, focusing on leveraging the bank’s “untapped potential”. The initial two-year phase will concentrate on establishing solid foundations, with the goal of realising significant benefits from 2027 onward. This will facilitate accelerated growth and market outperformance, according to Matos. ANZ is one of Australia’s largest banks, providing a range of financial services to retail, commercial, and institutional customers. The company also operates in New Zealand and across the Asia-Pacific region.
Matos addressed the competitive nature of the Australian banking sector, noting a 30 per cent decrease in returns for major banks over the past decade. He pointed out the market’s commoditisation and the significant role of mortgage brokers. He also highlighted the heavy reliance of Australian banks on net interest income, comprising 80 per cent of revenue compared to 50 per cent in the UK and Canada, due to the limited wealth services sector. Australia’s stringent bank capital requirements present a higher hurdle for achieving returns, but also support stronger credit ratings and enhance trust in the banking system.
While ANZ’s institutional bank and New Zealand operations have performed strongly, its Australian retail and commercial divisions have underperformed, Matos confirmed. The new strategy will emphasise clarity, decisiveness, execution, and accountability to improve these areas. Matos stated, “We are banking the right customers, in the right segments, in the right geographies,” underscoring the bank’s strategic positioning.
“We see a significant opportunity to grow, materially enhance our returns, and deliver better to our customers … this is our time to deliver,” Matos concluded, expressing confidence in the bank’s future performance and its ability to capitalise on existing opportunities.
