Company: WEBNF
Filing Date: 2025-11-04
Form Type: 20-F
Source: 0001104659-25-105894
Chunk: 18

Company: WESTPAC BANKING CORP
Filing Date: 2025-11-04
Form: 20-F
Item: Item 14
Chunk 18
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 Other overseas included Pacific Islands, Asia, the Americas and Europe.
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b.   Non-current assets represents property and equipment, and intangible assets.
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WESTPAC GROUP 2025 ANNUAL REPORT
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NOTES TO THE FINANCIAL STATEMENTS

Note 3.Net interest income and average balance sheet and interest rates
Net interest incomeAccounting policy​

Interest income and interest expense for all interest earning financial assets and interest bearing financial liabilities at amortised cost or FVOCI, detailed within the table below, are recognised using the effective interest method. Net income from treasury’s interest rate and liquidity management activities and the cost of the Bank levy are included in net interest income.The effective interest method calculates the amortised cost of a financial instrument by discounting the financial instrument’s estimated future cash receipts or payments to their present value and allocates the interest income or interest expense, including any fees, costs, premiums or discounts integral to the instrument, over its expected life.Interest income is calculated based on the gross carrying amount of financial assets in stages 1 and 2 of the Group’s ECL model and on the carrying amount net of the provision for ECL for financial assets in stage 3.
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​                                                                       ​                                Consolidated   ​                 Parent Entity
$m                                                                      2025            2024            2023            2025            2024           
Interest income                                                                                                                                        
Calculated using the effective interest method                          ​           ​   ​           ​   ​           ​   ​           ​   ​             ​
Cash and balances with central banks                                            2,533           4,123           4,277           2,260             3,651
Collateral paid                                                         468             647             581             467             646            
Investment securities                                                           4,587           3,494           2,037           4,274             3,254
Loans                                                                          45,451          44,460          35,582          39,617            38,217
Other financial assets                                                  15              15              38              11              13             
Due from subsidiaries                                                               -               -               -           2,222             2,577
Total interest