Westpac Banking Corp (WBC.AX), Australia’s largest lender, raised its home loan variable interest rates by 25 basis points (bps) on Tuesday to match the RBA’s rate hike.
The RBA unexpectedly hiked interest rates by a quarter-point to an 11-year high and warned that further tightening may be needed to return inflation to target.
Since May 2018, the RBA has raised the cash rate by 400 basis points.
Westpac’s new home loan rate takes effect June 20.
Westpac is the first of the ‘big four’ banks to pass on the central bank’s recent rate boost to its customers, with the other three expected to follow soon.
