Regional South Australia is showing strong signs of economic recovery, says the head of the state’s biggest bank.

BankSA managing director Jane Kittel has just returned from visits to Port Lincoln, the Riverland and Mount Gambier in the lead-up to the release yesterday of the bank’s full year financial results.

“There’s a much more positive feeling in the state’s agricultural regions and a view that it’s now a good time to be ‘getting on with things,” Kittel said.

“The prospects in the grain sector are for a good harvest, citrus has just completed a really good season and, in general terms, this is the third good year in a row.

“Prior to that there had been a prolonged period of drought so this is a welcome period.”

Kittel said that while the non-agricultural sector had problems in some areas, emerging confidence was evident.

“There’s been an improvement across the board in our pipeline of projects or business under development; it’s the best for a couple of years.

“Small business seems to be doing very well while the mid-sized companies are feeling the pinch in some areas and have been paying down debt.”

The retail and service sectors are still feeling some pain, Kittel said.

“Retail, certainly, and in the hotel industry there are some business that are having a tough time, especially those that don’t have a a good food offering to get people through the door.

“It’s patchy across that sector as some are doing well and others aren’t.”

Kittel said the housing market was showing encouraging signs of improvement and buyers with the right backing could look forward to accessing competitive loan products.

“Basically, we’re open for business; there’s a very competitive market out there for home loans and buyers can get some good products and we’re strong in that space.”

BankSA yesterday reported a $200 million net profit off the back of a 9% increase in deposits and reductions in impaired loans.