The International Banks Are Back

Despite another year of global economic disruption, international banks in Australia have shown better than expected growth throughout 2021 and 2022 and the sentiment is this will likely continue through 2023. After 2 long years of COVID-19 lockdowns/restrictions and global unrest, this feels particularly promising considering other macro factors.

What JMES are seeing:

• Domestic banks remaining steady, consolidating businesses & shrinking/retreating from offshore locations
• International banks adding to core specialisations locally, building out product & coverage disciplines & making first time hires in Australia to support their global platforms
• Bulge bracket banks slimming their financing offerings, some have already announced cuts heading into year end

Some notable examples:
Demonstrating their commitment to the local market, some International Banks have secured ADI licences in recent years e.g. Societe Generale (2019), Barclays (2021) and Credit Agricole (2022) – and used this to expand their local platforms by hiring quality professionals with proven reputations and track records – the impact of which will continue to gain momentum through 2023. This is in addition to the continued presence of other banks such as SMBC, MUFG, Mizuho and ING.

Across this cohort, more than 50% of hiring in the past 12 months has been for new or additional positions vs replacement hires – with notable building out of disciplines such as: Capital Markets (Loans/DCM/Securitisation), Special Situations, and Client Coverage (Sectors/Funds Finance). The access to capital remains competitive but available and acknowledging executing transactions is more challenging, we continue to see (people and financial) investment and activity across the Real Asset (infrastructure, energy/renewables, real estate) and Sponsor areas.

Should you wish to discuss further, please contact our specialists Rob Hockedy and Patrick Everest

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