The lingering debt default crisis in Greece is having minimal impact on the Australian banking industry, Reserve Bank of Australia (RBA) assistant governor Guy Debelle said.

Debelle said the Greece debt crisis is a major concern among European countries over the past three months, but so far, its economic impact is confined to the European Union.

"So far, it hasn't had any affect at all actually," Debelle told a Mortgage and Finance Association of Australia conference in Sydney.

Debelle's comment reflects his previous statement at a separate industry conference in March, when he revealed that small-time mortgage lenders are returning to the local home loan market.

But he said the current level has not yet reached the pre-global financial crisis.

Data released by the RBA showed that the country's five largest lenders comprise an estimated 80 percent of owner-occupied loan approvals. But the volume is still down compared with the 85 percent posted a year ago.

Debelle explained that the upbeat growth for smaller lenders is due to the reopening of the securitization market. This made it a more viable source of financing for lenders. He also expressed confidence in the Australian residential mortgage-backed securities, saying "no one has suffered any losses" from the industry.

He added, "I would expect reasonable growth in housing credit going forward."

The margin for newly issued residential mortgage-backed securities fell to roughly 130-135 basis points over swap compared with the more than 400 basis points in the secondary market at the height of the global financial meltdown.