Arab Today, arab today australia financial inquiry supports stronger bank capital buffers
Last Updated : GMT 02:10:10
Arab Today, arab today
Arab Today, arab today

Australia financial inquiry supports stronger bank capital buffers

Arab Today, arab today

Arab Today, arab today Australia financial inquiry supports stronger bank capital buffers

An inquiry into Australia's financial system
Sydney - AFP

An inquiry into Australia's financial system in a report released Sunday recommended domestic banks hold more capital to be "unquestionably strong on a global basis", while protecting the economy and taxpayers from collapses.
The inquiry, the first major investigation into the sector since 1997, drew on the lessons of the global economic crisis and set out a "blueprint to guide the financial system over the next decade", its chairman David Murray said.
"Our charge is to do what is right to strengthen the Australian economy and ensure that the financial system is as robust as it can be," said Treasurer (finance minister) Joe Hockey.
"Now we have got to weigh up carefully the implications for financial services providers. But I want to emphasise we need to prepare now for the challenges that may lie ahead."
The 350-page report made 44 recommendations, including higher reserve requirements for banks, lower fees for the growing Aus$1.8 trillion ($1.7 trillion) superannuation -- or pension -- sector, and caps on credit card surcharges and fees.
The push to raise capital buffers has been echoed by international regulators and aims to address weaknesses that emerged during the 2007-2008 financial crisis.
The report also recommended that banks lift their "risk weights" for mortgage lending, which would require them to set aside higher sums against home loans. Higher risk weights already apply to smaller lenders.
Australian banks have previously warned against tighter requirements, citing higher costs, but Murray said the changes were needed to keep in line with international peers.
"Given Australia's position in the world, bank capital needs to be unquestionably strong on a global basis. This means the top 25 percent in the world," Murray said.
The inquiry found that Australian banks currently had capital ratios of between 10.0 to 11.6 percent, compared to 12.2 percent for financial institutions in the top quarter.
"We need to do this to strengthen our capacity to manage bank failures and reduce taxpayer exposure to the cost of bank recapitalisation, particularly in a crisis," said Murray, the former chief executive of Australia's largest bank, the Commonwealth Bank.
Hockey said his government would carefully consider the report and consult stakeholders, with written submissions accepted until next March.

 

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today australia financial inquiry supports stronger bank capital buffers Arab Today, arab today australia financial inquiry supports stronger bank capital buffers

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today australia financial inquiry supports stronger bank capital buffers Arab Today, arab today australia financial inquiry supports stronger bank capital buffers

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today EasyJet, Lufthansa among seven to bid

GMT 06:49 2017 Tuesday ,17 October

EasyJet, Lufthansa among seven to bid
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Fighters celebrate Raqa victory

GMT 06:07 2017 Wednesday ,18 October

Fighters celebrate Raqa victory
Arab Today, arab today Hiring not part of Alibaba pledge

GMT 11:26 2017 Wednesday ,18 October

Hiring not part of Alibaba pledge
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Sidem reveals plan to improve education

GMT 15:52 2017 Friday ,06 October

Sidem reveals plan to improve education
Arab Today, arab today British actress becomes fifth woman

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman
Arab Today, arab today Climate-disrupting volcanoes helped topple

GMT 16:00 2017 Wednesday ,18 October

Climate-disrupting volcanoes helped topple
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mercedes says recalls 400,000 UK cars

GMT 06:56 2017 Tuesday ,17 October

Mercedes says recalls 400,000 UK cars
Arab Today, arab today Britain's Vauxhall to cut 400 jobs

GMT 10:53 2017 Sunday ,15 October

Britain's Vauxhall to cut 400 jobs
Arab Today, arab today Dalal Abdel Aziz happy for “Seventh Neighbor”

GMT 09:31 2017 Monday ,16 October

Dalal Abdel Aziz happy for “Seventh Neighbor”
Arab Today, arab today Three killed, 360,000 without power

GMT 05:11 2017 Tuesday ,17 October

Three killed, 360,000 without power

GMT 12:33 2017 Friday ,13 October

Anoshka happy for reactions to her talk show

GMT 10:37 2017 Thursday ,12 October

Cara Delevingne accuses Weinstein

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 18:49 2017 Monday ,16 October

India to close colonial-era military farms

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 23:42 2017 Monday ,16 October

Better Marriages Make

GMT 07:02 2017 Sunday ,15 October

German minister sparks uproar

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 03:59 2017 Sunday ,15 October

US mobile carriers Sprint, T-Mobile to merge

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday