Consumer and businesses cautious about debt

While home buyers returned to the market in November 2008, consumers and businesses still remain cautious about taking on debt.

According to data released by the ABS, the value of commercial finance commitments fell in November 2008 by 10.4%, seasonally adjusted, to $28.375 billion. This represents a decline of close to 40% since November 2007.

Personal finance commitments also continued to decline by 1.8% from October 2008, seasonally adjusted, and 14.8% from November 2007.

Owner occupied housing finance inched up in November 2008 by 1.4%.