Tuesday, November 9, 2010


According to Bloomberg the Australian government is attempting to eat its own head:
Australian Prime Minister Julia Gillard will argue for special consideration for the nation’s strong banks at the Group of 20 summit amid a global push to overhaul rules on capital to prevent another financial crisis, the Australian Financial Review newspaper reported.

“It’s an issue we’re confronting because of our comparative strength,” Gillard told the newspaper in an interview before the G-20 meeting in Seoul on Nov. 11-12. “We do need special consideration of Australia’s position.”

Wuh? The Gillard government seeks to prevent capital and liquidity requirements that will help stabilise the banking system ... even as it attacks the banks for the profiteering that arises from having an unstable financial system.

You are feeling sleepy...


Anonymous said...

just read recently (possibly naked capitalism - will try and find the link) where the author believed that banks would argue against regulations and/or restrictions being implemented against them as it would impede their operations and limit their preparedness to lend (another banking threat). this is a great blog.

you may have already read this, very sobering article in the irish times:


Anon2 said...

Special treatment for our Banks? While we're sitting on an enormous residential mortgage time-bomb? It would make you weep!!!

I can't imagine overseas funding being easier to get if Gillard was successful.

Pallbearer said...

I wonder if Gillard will start her argument by telling the G20 meeting that "housing is different in Australia."

What a Ranga!