Company: WEBNF
Filing Date: 2025-11-04
Form Type: 20-F
Source: 0001104659-25-105894
Chunk: 39

Company: WESTPAC BANKING CORP
Filing Date: 2025-11-04
Form: 20-F
Item: Item 14
Chunk 39
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●Base case scenarioThis scenario utilises the internal Westpac economics forecast used for strategic decision making and forecasting.●Upside scenarioThis scenario represents a modest improvement on the base case scenario. ●Downside scenarioThe downside scenario is a more severe scenario with ECL higher than those under the base case scenario. This scenario assumes a recession with a combination of negative GDP growth, declines in commercial and residential property prices and an increase in the unemployment rate, which simultaneously impact ECL across all portfolios from the reporting date.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
The three macroeconomic scenarios are probability weighted and together represent Westpac’s view of the forward looking distribution of potential loss outcomes. The weighting applied to each of the three macroeconomic scenarios takes into account historical frequency, current trends, and forward-looking conditions.The macroeconomic variables and probability weightings of the three macroeconomic scenarios are subject to the approval of the Group Chief Financial Officer and Group Chief Risk Officer with oversight from the Board of Directors (and its Committees).OverlaysWhere appropriate, adjustments will be made to modelled outcomes to reflect reasonable and supportable information not already incorporated in the models.Judgements can change with time as new information becomes available which could result in changes to the provision for ECL.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
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FINANCIAL   EXHIBITS INDEX   STRATEGIC   PERFORMANCE   EXHIBIT 15.4   ADDITIONAL 
REPORT                       REVIEW      REVIEW                       INFORMATION
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Note 10.Provision for expected credit losses (Continued)
Loans and credit commitments
The following tables disclose the provision for ECL on loans and credit commitments by stage for Westpac and the Parent Entity.
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​                                                                                                                    2025                                                              2024
​                                                          ​         ​               ​    ​         Non-                ​              ​               ​              Non-                ​
​                                                          ​                Performing    ​   Performing    ​           ​    ​                Performing    ​   Performing    ​           ​
$m                                                         ​   Stage 1     ​   Stage 2    ​      Stage 3    ​       Total    ​   Stage 1     ​