Assistant governor Michelle Bullock, speaking at an Albury business lunch, said the process could be helpful for companies involved in overseas transactions.

“Where that might have impacts on regional (businesses) and potentially positive impacts is in issues like supply chains,” Ms Bullock said.

“There’s work being done on whether or not you can use these blockchain-type systems to keep track of, for example supply chains across borders, so when people are exporting.

“There might be some very positive efficiency benefits, not only in terms of just making things quicker and easier but in terms of authenticity.

“You know it’ll be a record which tells you ‘yes I know that has been paid for and I know that person has got it’.”

Ms Bullock’s comments came in response to a question following a talk centred on household debt related to mortgages.

The event was organised by the Albury office of the Ai Group and held at the city’s Commercial Club.

Ms Bullock was asked by WAW Credit Union chief executive Michael Mack about the impact of the shadow banking sector and its regulation compared to traditional lenders.

“Although lending from that particular area is growing quite strongly, it is still a very, very small share of lending,” Ms Bullock said.

“The main way that many of these non-bank financial institutions finance themselves is through securitisation of loans...and that funding cost at the moment is quite high.

“It is something we’re watching because you’re quite right the more you regulate the regulated sector the more it tends to pop out in other areas, so we’re watching it very closely, but at the moment it’s still a small share of total lending.”  

Ms Bullock said the Reserve was the keen for incomes to rise for consumption to increase.

She said despite household debt ratios having risen due to mortgages over time “it seems unlikely there’s going to be a widespread credit crunch”. 

Ms Bullock cited borrowers not reaching maximums and most loan recipients being able to meet higher repayments despite rate rises.

She said the top 20 per cent of incomes accounted for 40 per cent of the debt.