May 2020

ANZ COVID-19 MEASURESThis document provides an update to the House of Representatives Standing Committee on Economics on ANZ’s response to the COVID-19 pandemic.
Information updated since 30 April 2020 is indicated with an asterisk (“*”). This report focuses on ANZ actions in response to COVID-19 and excludes a section that was included in the previous
April report that provided examples of regulator announcements.

1.

ANZ Loan Deferrals*

ANZ APPROVED LOAN DEFERRALS BY PRODUCT TYPE1
Number of
approvals2

Value $ of total loan balance
which has been deferred3% of all ANZ loan balances
for this category4

Total business loan deferrals

40,504

10,143,055,626

6.8%

Of these: SME

38,632

8,256,552,494

19.1%

Total mortgage loan deferrals

94,40533,091,215,897

12.2%

Of these: business / commercial customers

10,853

2,625,309,428

21.1%

Of these: retail customers

83,552

30,465,906,469

11.8%

Total unsecured loan deferrals

17,827

840,897,653

1.5%

Of these: business / commercial customers

6,771

720,121,181

1.5%

Of these: retail customers

11,056

120,776,472

1.5%

ANZ Australia approvals for the period 23
March to 18 May

Notes:
1. This data has been produced for the purpose of reporting to the Australian Banking Association and Treasury and is unaudited. It may differ from ANZ’s other external reporting because of theparticular definitions used, timing or for other reasons. The Economic and Financial Statistics (EFS) standards of the Australian Prudential and Regulation Authority (APRA) are used for the
categories of ‘business loans’ (loans for business purposes), including ‘SME’ (small and medium enterprise – turnover of less than $50m); and ‘mortgage loans’, including those for ‘business /commercial customers’ (secured by residential mortgages), and ‘retail customers’ (personal and home loans). The category of ‘Unsecured’ will include personal loans, credit cards and some
home loans that are identified as unsecured based on APRA EFS guidance. The data includes residents and non-residents. Loan numbers and value of the loan balance deferred is based on
approvals. It includes relief arrangements where the customer subsequently did not proceed, or where the relief was subsequently partially or fully unwound after approval. The data relates toapproved loan deferrals in Australia only.
2. Loan deferrals include the number of all approved loan deferrals, including overdraft increases as part of the COVID package, up to 18th May 2020. It is a product view; that is based on
product accounts, contracts or similar arrangements. It is not the number of customers.
3. Data in this column corresponds to the sum of the outstanding value of total loan balances which has been deferred that is provided in weekly submissions to the ABA and Treasury.
Outstanding loan balances are sourced each week for deferrals approved in the prior week. As a result, this is the sum of cumulative outstanding loan balances as at 30th April (the first report)
and the weekly outstanding loan balances as at 8th May and 15th May 2020.
4. Balances used for calculation of “% of all ANZ loan balances for this category” are as at 30 April 2020.

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2.

Customer Measures

During March 2020 ANZ announced reductions in variable interest home loan and business loan rates and introduced low fixed-rate home and business loans. We also announced a number of
support measures for personal and small business customers to help them through the current COVID-19 pandemic.
MeasureDetails

Home loan and small business interest rates
Decrease in variable interest home loan rates in

We announced on 20 March 2020 a decrease in variable interest home loan rates in Australia by 0.15%pa across all variable rate

Australia by between 0.40%pa and 0.50%pa across all

indices, effective from 27 March 2020.

variable rate indices

For Standard Variable Rate owner occupiers paying principal & interest, the Index Rate was decreased by 0.15% to4.39%pa.



For Standard Variable Rate investors paying principal & interest the Index Rate was decreased by 0.15%pa to 4.99%pa.

For Standard Variable Rate owner occupiers paying interest only the Index Rate was decreased by 0.15%pa to 4.94%pa.

For Standard Variable Rate investors paying interest only the Index Rate was decreased by 0.15%pa to 5.24%pa.

These decreases in variable interest home loan rates followed our earlier decreases between 0.25%pa and 0.35%pa announced
on 3 March 2020, effective from 13 March 2020.

Two-year fixed rate of 2.29% for owner occupiers*

We are offering a two-year fixed rate of 2.29%pa for owner occupiers paying principal and interest. This rate was announced on 22
May 2020 and is a 10 basis-point increase on our previous two-year fixed rate announced in March 2020.

Decrease in variable interest small business loan rates

We announced on 20 March 2020 a decrease in variable interest small business loan rates in Australia by 0.25%pa, effective fromin Australia by 0.50%pa

27 March 2020.
This decrease in variable interest small business loan rates followed an earlier decrease of 0.25%pa announced and effective on
13 March 2020, resulting in a 0.50%pa reduction for variable interest small business loan customers during March 2020.

Introduction of lower rate fixed-rate business loans

We announced on 20 March 2020 a decrease by 0.80%pa to a new two and three-year fixed rate of 2.59%pa for secured small
business loans up to $1 million, effective 3 April 2020.
Applicants must have less than $1 million total business lending with ANZ and must meet ANZ's security requirements.
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Measure

Details

Personal customer support
Six-month deferral on home loan repayments*

Customers can request a deferral of home loan repayments for up to six-months, with a review at three-months. Under a homeloan repayment deferral, customers do not need to make repayments to their home loan for a period of time. Unpaid interest
during this period is capitalised, meaning it is added to the customer’s outstanding loan balance to be paid over the remaining loan
term. This measure was announced as part of ANZ’s COVID-19 support on 20 March 2020.
We are capitalising interest, rather than not charging interest, as we consider this is in the interests of customers overall as itenables us to keep lending to more customers. Interest is the ‘cost’ of a loan. The cost includes the interest or returns required bypeople who provide the money that banks then lend out (wholesale lenders to banks, depositors and shareholders), the expected
losses on loans and the cost of running the bank. Banks have been able to ‘defer’ receiving interest from borrowers and add it to
the principal of the loan (that is, ‘capitalise’ it). Deferring or capitalising interest means the bank can continue to lend since we
expect the interest will be paid when the economy recovers and customers are returned to a better financial position. It also means
customers' payment history is not being affected. If interest were not charged, even for a defined period, the economic value ofthat loan asset to the bank would be reduced by the amount of the waived interest and that reduction in value would be reported
as a loss (reducing retained earnings and capital accordingly). This would make it more difficult to lend to others.

Support for personal loan customers

Personal loan customers can request support including payment deferral (with interest capitalised) and waiving of the loanadministration charge for up to six-months, with a review at three-months.
ANZ has options available to customers to help with managing their personal loans, including reducing their repayments to theminimum (if they are making higher repayments) and access to funds in a redraw facility based on the extra repayments acustomer may have paid in the past.

Support for personal credit card customers

Personal credit card customers can request support including payment deferral of minimum monthly payments (with interest
capitalised), waiving of fees and other measures for up to six-months, with a review at three-months.
Further support for customers with personal credit card debt includes options to transfer to a product with lower interest rates,change credit limits, and set up direct payments.

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Measure

Details

Increased contactless card payments limit

We have worked with AusPayNet to temporarily increase the limit for contactless card payments from $100 to $200, in order toreduce the risk of COVID-19 transmission through physical contact with cash or the payment terminal. The limit increase isprogressively being rolled out and may not be available on all terminals and all cards.

Guidance to ANZ Smart Choice Super customers

We have provided information for ANZ Smart Choice Super customers on the ANZ website at anz.com. This includes information
about the Australian Government’s early access to superannuation scheme, insurance and the impact of COVID-19 on balances.1

Advice on branch closures

We publish a daily list of branches which are temporarily closed due to staffing availability or other issues associated with COVID19. The list is available on the ANZ website at anz.com.

Support for passbook account customers*

We are contacting our passbook only customers to offer them an everyday account with Visa Debit access. This account can be
set up entirely from their home over the phone. A Visa Debit card allows customers who usually rely on cash or eftpos to instead
pay for goods and services over the phone or online. Customers can also set up a recurring transfer over the phone so that theirpension income can be automatically moved from their passbook account.

Information about COVID-19 assistance*

We regularly update a dedicated COVID-19 webpage which outlines the support available to customers.
This webpage is available at anz.com/support/covid-19/.
ANZ CEO, Shayne Elliott, has emailed 4 million customers informing them of the support available and how to access it. Our
newsroom also provides information responding to Frequently Asked Questions about our COVID-19 response and information on
Australian Government support.
Due to the high volume of calls we continue to receive in response to COVID-19, customers can request online a call back. We willcall customers back as soon as possible and they will not be disadvantaged by any delay in ANZ contacting them. We have also
introduced processes to allow home loan customers to accept assistance offers online if they do not need to speak to an ANZ
operator.

1 Note: ANZ’s Pensions & Investments (P&I) business, including Smart Choice Super, is owned by IOOF Holdings Limited (IOOF). The sale of the P&I business to IOOF was completed on 31

January 2020.

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Measure

Details

Business customer support
Six-month deferral on business loan repayments*

Impacted business customers can request a six-month payment deferral on loan repayments for term loans, with interest
capitalised. The six-month payment support is available to most ANZ business customers.
This measure was announced as part of ANZ’s COVID-19 support on 20 March 2020.

Support for JobKeeper*

ANZ is supporting eligible small and medium business customers that have registered with the ATO for the Federal Government’s
JobKeeper scheme to bridge the gap before they receive payments. Customers can call the dedicated hotline on 1800 571 123 orrequest a call back at anz.com.au/business/covid-19/.
This measure was announced on 27 April 2020.

New business loans under the Australian Government’s

In relation to the Australian Government’s Coronavirus Small and Medium Enterprise Guarantee Scheme, eligible small businesssmall business guarantee*

customers can apply for new ANZ business loans:a new three-year business loan up to $250,000, with a six-month deferral on repayments (interest will be capitalised), ora new six-month business overdraft of up to $250,000, with a six-month deferral of interest. At the end of the six-months
customers will have the option of fully repaying the overdraft or rolling the balance into a term loan for up to two and a halfyears (interest will be capitalised).

The loans are available to new and existing customers that are a small or medium-sized business with annual turnover of less than
$50 million. The loan must be used to support current and upcoming business cash flow needs only (including working capital,
liquidity and operating expenditure). For customers already experiencing financial difficulty prior to the announcement of thesemeasures, additional support measures are assessed on a case by case basis.

Temporary increases in overdraft facilities

Small business and commercial customers can request temporary increases in overdraft facilities for 12 months by up to 10%.
This measure was announced as part of ANZ’s COVID-19 support on 20 March 2020.

Six-month deferral on Trade Finance Loan repayments

Small business and commercial customers with an eligible ANZ Trade Finance Loan can request a six-month deferral on their
Trade Finance Loans with interest capitalised.
5Measure

Details

Merchant terminal fees relief

ANZ Merchant Facility customers can request a three-month waiver of the Rental Fees for their ANZ Electronic Terminals.

Online Marketplace to support small business

Staff can purchase directly from a number of our small business customers through an Online Marketplace, replacing our annual

customers

small business customer Easter Market held in our Melbourne Headquarters.

Information about COVID-19 assistance and other

Our business bankers are working directly with customers to inform them about support available. Due to the high volume of calls,

supportcustomers can request online a call back. We will call customers back as soon as possible and they will not be disadvantaged byany delay in ANZ contacting them.
Severely impacted small and medium business customers are able to access to relief measures specifically to respond to theircircumstances.
We regularly update a dedicated COVID-19 webpage which outlines the support available to business customers.
The webpage includes a series of Frequently Asked Questions to assist businesses to understand what assistance ANZ can offer
them, as well as practical information such as how best to clean merchant terminals to protect their staff and customers.
It also provides links to Australian Government resources which details government assistance available to businesses impacted
by COVID-19.
This webpage is available at anz.com.au/business/covid-19/.

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3.

Community Response

ANZ has worked with our community partners throughout the COVID-19 pandemic.
MeasureMeasure Details$1.5 million to community partners to support

We have donated $1.5 million to three of our charity partners to provide additional support to some of the country’s mostAustralia’s most vulnerable

disadvantaged.
The Brotherhood of St Laurence, The Smith Family and the Financial Counselling Foundation will each receive $500,000 to
support the financial wellbeing of vulnerable Australians. The organisations will use the funds for education, employment, agedcare and financial counselling programs targeted at disadvantaged people further affected by COVID-19.

Double matching employee giving

We are encouraging employees to support our community partners during this time through our workplace giving program, where
ANZ will double match employee donations.

Building financial wellbeing*

We are working with community partners to adapt our financial inclusion programs such as MoneyMinded and Saver Plus, so
participants can continue building their financial skills and knowledge during this time. For example, all 60 Saver Plus sites are
now offering the program remotely with participants completing MoneyMinded financial education online, instead of face to face.

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4.

Corporate and Employee Response

ANZ is taking action to ensure the wellbeing of our employees and customers during the COVID-19 pandemic.
MeasureMeasure Details

Protecting our branch employees and customers

In line with Government requirements, we have asked customers to not visit our branches if any of the following have applied tothem:travel overseas in the past 14 dayscontact with someone who has been diagnosed with COVID-19



experiencing fever, breathing difficulties, fatigue, a cough or sore throat.

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Measure

Measure Details

Protecting the wellbeing of our employees*

We have moved employees to work-at-home arrangements, split teams and introduced greater distance between those
employees performing essential functions in the office. Approximately 95% of our non-branch employees are working from home.
We introduced 10 days’ paid coronavirus-related special leave, and provided a one-off payment to junior and mid-level employees
as a contribution towards working from home work expenses.
To protect our employees, we have provided them with information and additional products to ensure good hygiene practices, aswell as taken social distancing measures in our offices, including restricting meetings to video conferencing or phone calls andlimiting the number of people in elevators. Our buildings have extensive measures to keep them as safe as possible, including
thermal screening in our largest major buildings, perspex screens in our branches, regular cleaning, locking down floors, relocatingteams and having hand sanitiser and personal protective equipment available wherever we can. If an employee working fromhome is concerned about their personal safety (for example, in a domestic and family violence context), they are able to arrange
with their manager to work in the office. If they are not comfortable talking directly with their manager, they can approach our
Health & Wellbeing team for support.
We have commenced planning for the return of a limited number of our employees to the workplace in line with the advice ofCommonwealth, state and territory governments. Actions we are taking to prepare for this includes considering staggering start
times, enhanced cleaning protocols, and office physical distancing requirements throughout the workplace (including the use oflifts and stairs, meeting room limits and closing every second desk).
We have a range of wellbeing resources available for all staff including a digital wellbeing app, focused on support during this
COVID-19 period. We also have a comprehensive intranet site, a virtual physical activity program to support our employees to stay
active and webcasts with external medical professionals. We are also providing support for our employees working from home,including to assist them in setting up their home workspaces appropriately, helping them to remain connected to their colleagues,
and continuing to provide access to our Employee Assistance Program.
We have provided links to the COVIDSafe app on our internal social media platform and anz.com. We are encouraging staff toconsider downloading it to as a way of improving the ability of our frontline health workers to trace contacts of those who havetested positive to COVID-19 and protect the workplace and the community.

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