Macquarie Bank will consider expanding its residential mortgage business in Australia again if funding conditions improve, Macquarie Banking and Financial Services Group head Peter Maher said.
"It is something that we would consider again in the future, although the current climate isn't looking promising," Maher said.
The bank yesterday announced it had decided, for the meantime, to service its 95,000 existing Australian customers that hold loan facilities rather than court new business.
The portfolio is predominantly funded by wholesale securitisation markets, which due to the international credit crisis had become increasing difficult to manage, Maher said.
"If you look at the mortgage securitization market it is effectively closed," he said.
"In the current market conditions the most appropriate thing to do is concentrate on the current client base.
"New mortgage business will continue to be written although it will be at much reduced volumes."
Macquarie's mortgage portfolio makes up around 2.5 per cent of the total outstanding housing loans market in Australia.
