This is because intermittent closures have left hospitality and retail workers with no choice but to relocate industries to make ends meet.
“Many people who would have traditionally worked in the hospitality sector, which has been a very dynamic sector for so long, have started to work in other sectors such as agriculture and have moved to the Australia region from the metro,” he said Vacy-Lyle to The Sydney. Morning Herald. “Due to the slowdown in immigration and the slowdown in people entering Australia, we will see that there will be a fight to get people back to hospitality.”
Regardless, other major banks such as the National Australia Bank (NAB) and Australia New Zealand (ANZ) Bank remain hopeful about the reopening of the economy.
Andrew Irvine, executive of commercial and private banking at NAB, said there is “strong reason for optimism” as commercial loan rates have risen more than pre-pandemic levels. However, the implementation of intermittent shutdowns could have made companies reluctant to invest heavily or hire new staff, which could stunt their growth.
“I think people are going to be really cautious for a period of time until they have a lot more confidence that … they can trust the fact that the economy will stay open for a long, long time,” Shayne Elliot, CEO of ANZ Bankhe told The Sydney Morning Herald.