National Australia Bank Latest Announcement

Australia’s National Australia Bank (NAB) has warned that credit losses could more than double due to escalating geopolitical tensions stemming from the conflict in Iran, according to a statement released on April 20, 2026.

The bank, Australia’s largest business lender, said in its latest financial outlook that provisions for bad and doubtful debts are expected to rise significantly as disruptions to global oil markets and trade flows increase the risk of default among corporate borrowers, particularly those with exposure to energy-intensive industries and Middle Eastern supply chains.

NAB’s chief financial officer, Scott Murdoch, stated during a briefing with analysts that the bank is preparing for a “material increase” in credit impairments, noting that the war in Iran has already begun to affect commodity prices, shipping routes and investor confidence across key sectors including manufacturing, logistics, and resources.

Shivangi Lahiri, NAB’s head of international risk, added that the bank has revised its forward-looking economic models to incorporate scenarios of prolonged conflict, including potential spikes in oil prices and reduced access to financing for clients operating in or trading with affected regions.

The bank emphasized that while its overall capital position remains strong, the anticipated rise in credit losses could impact profitability in the coming quarters. NAB said It’s tightening credit standards for certain high-risk portfolios and increasing monitoring of corporate clients with overseas operations linked to the Middle East.