Australian June Building Approvals Leap 12% as Credit Growth Holds

Australian Bureau of Statistics data show total building approvals jumped 11.9% in June from the previous month, far outpacing economists’ expectations of a 1.8% rise and accelerating from May’s 3.2% gain. The rebound was driven by a lift in the volatile apartments and non-detached segment, offsetting weakness in standalone houses, where approvals declined 2.0% after a 0.5% increase a month earlier. Separate figures indicate private-sector credit grew 0.6% in June, slightly above the 0.5% consensus, leaving annual growth at 6.8% versus 6.9% in May. Housing credit expanded 0.5% for a second consecutive month. The mixed readings arrive ahead of the Reserve Bank of Australia’s policy meeting next week, providing a snapshot of construction pipeline strength and ongoing, albeit moderating, credit momentum.