Growth, which had fuelled record banking profits in recent years, would be lower than recently experienced, Mr Norris said, as capacity constraints and the impact of the drought put a brake on certain business sectors. CommBank has 38 per cent of its home loans in the state and is looking to offset its lack of prospects in NSW by expanding into the growth regions of Queensland and Western Australia. Some home owners were finding it tough because of higher interest rates, Mr Norris said, and the bank had experienced a small increase in arrears and defaults.