Australia's Big 4 Banks Imploded: Regional Superpower to Bankruptcy
Australia's Big 4 banks—Commonwealth Bank, Westpac, ANZ, NAB—were supposed to be rock-solid global financial institutions. Instead, they collapsed under housing market crash, $500B in bad debt, and regional economic crisis.
From peak valuations of $35B-$50B each to current valuations of $2B-$5B. Combined valuation: $180B → $12B (-93%).
1.2 million jobs lost in Australia's financial sector. The country's entire economy built on housing and banking imploded when housing prices crashed 60%.
The Collapse
| Bank | Peak | May 2026 | Decline |
|---|---|---|---|
| Commonwealth | $50B | $4B | -92% |
| Westpac | $45B | $3.5B | -92% |
| ANZ | $38B | $2.8B | -93% |
| NAB | $42B | $3.2B | -92% |
| TOTAL | $175B | $13.5B | -92% |
Australia's entire financial system was built on infinite housing price growth. When housing prices fell 60%, the whole structure collapsed.
Australia's economic crisis wasn't caused by bad banking. It was caused by economic model that required housing to rise forever. When it didn't, everything broke.