Company: WEBNF
Filing Date: 2025-11-04
Form Type: 20-F
Source: 0001104659-25-105894
Chunk: 56

Company: WESTPAC BANKING CORP
Filing Date: 2025-11-04
Form: 20-F
Item: Item 14
Chunk 56
---

Total on and off-balance sheet         1,021,498       139,799       9,079         1,170,376       940,675       166,932       9,720         1,117,327
​

a.   This credit quality disclosure differs to that of credit risk concentration as it relates only to financial assets measured at amortised cost or at FVOCI and therefore excludes trading securities and financial assets measured at FVIS, and derivative financial instruments.
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

b.   Excludes equity instruments. Includes Nil (2024: $71 million) debt securities at amortised cost which are all classified as good/satisfactory.
---------------------------------------------------------------------------------------------------------------------------------------------------
Details of collateral held in support of these balances are provided in Note 11.5.
​

​

               ​                
--------------------------------
WESTPAC GROUP 2025 ANNUAL REPORT
​
NOTES TO THE FINANCIAL STATEMENTS

Note 11.Credit risk management (Continued)
11.5.  Credit risk mitigation, collateral and other credit enhancements
Westpac uses a variety of techniques to reduce the credit risk arising from its lending activities. This includes Westpac establishing that it has direct, irrevocable and unconditional recourse to collateral and other credit enhancements through obtaining legally enforceable documentation.
Collateral
The table below describes the nature of collateral or security held for each relevant class of financial asset.

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                ​​                                                                                                                                                                                                                                                                                                                                                                                                   
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Loans – housing and personala                                               Housing loans are secured by a mortgage over property and additional security may take the form of guarantees and deposits.Personal lending (including credit cards and overdrafts) is predominantly unsecured. Where security is taken, it is restricted to eligible motor vehicles, caravans, campers, motor homes and boats. Personal lending also includes margin lending which is secured primarily by shares or managed funds.                                                                                                                                                                                                                                                                                                                                                                     
Loans – business                                                        ​   Business loans may be secured, partially secured or unsecured. Security is typically taken by way of a mortgage over property and/or a general security agreement over business assets or other assets.Other security such as guarantees, standby letters of credit or derivative protection may also be taken as collateral, if appropriate.                                                                                                                                                                                                                                                                                                                                                                                                                                                            
Trading securities, financial assets measured at FVIS and derivatives   ​   These exposures are carried at fair value which reflects the credit risk.For trading securities, no collateral is sought