Bank of Melbourne CEO keen on Ballarat

Speaking at the bank’s Central Square branch on Thursday, Mr Tanner said they were seeing good things in town. 

“These are the best conditions for business that we’ve seen in some time,” he said. 

“Unemployment in Ballarat at 5.1 per cent, across the state it’s 6.1 per cent, regional 6.4 per cent. I look at the indicators, and ask where the things are better, you’d have to say that Ballarat’s in a pretty good place.” 

Mr Tanner highlighted investment in infrastructure and steady population growth as additional markers for an improving local economy. 

The weaker Australian dollar would provide more opportunities for agriculture in the region and tourism, he said. 

A Bank of Melbourne – Victorian Employers' Chamber of Commerce and Industry report released during the week found regional businesses were more ambivalent in the economic outlook than their metropolitan counterparts. 

In regional Victoria, 55 per cent of businesses expected conditions to stay “about the same” compared 49.8 per cent in metro areas. 

Mr Tanner said the bank was seeing businesses operating carefully right now. 

“Their level of indebtedness is actually relatively low compared with the past, so they’ve paid down debt, put in lines of credit and they’re waiting for opportunities,” he said. 

These conditions meant different opportunities for lenders as conditions change. 

“Ultimately you can’t change sentiment, banks do well when the confidence is running high and the economy’s growing,” he said.

“We’ve got to make the most of what it is at the end of the day.” 

This includes investing in Ballarat, he said. 

“You look at the (overall) picture and you say this is a great place to live,” he said. 

“That certainly factors into our thinking of putting more energy and effort into Ballarat. We’ve spent $2 million here on building this new branch. Some people might find that excessive but that’s the cost of fitting out banks and secure environments like this.”