Banking reform: Greater competition and security can co-exist, says expert
Leading economic thinker and commentator, Dr Nicholas Gruen is calling for banking reform in an essay launched today by the Whitlam Institute within the University of Western Sydney.
Australian banks' profitable navigation of the Global Financial Crisis may be pleasing shareholders but the political and community reception has been hostile.
Dr Gruen proposes a viable, low risk policy reform which would address the current inequity in the structure of the Australian banking system.
His argument for a comprehensive micro-economic reform of banking holds the promise of simultaneously delivering greater financial security and substantially increased competition for Australian consumers.
Dr Gruen is a former ministerial advisor to Commonwealth Treasurer John Dawkins and Industry Minister John Button. He is a regular newspaper columnist, and has published in international academic journals on a variety of topics and is a prolific contributor to Australia's thriving policy blog scene. In 2009, Dr Gruen chaired the Federal Government's Government 2.0 Taskforce and in 2010 participated in the Commonwealth MAC report on innovation in Government.
Eric Sidoti, Director of the Whitlam Institute says Dr Gruen's essay is the latest in the "Perspectives" series of essays by respected public intellectuals designed to canvass ideas and put forward views on the policies that would shape a better, fairer Australia.
"Finance sector reform has become a matter of heightened public interest and few things incite the passions as much as the profits and behaviours of 'The Banks'," says Mr Sidoti.
"The danger of course is that the heat being generated sheds no light whatsoever. Yet these are serious issues and they do demand thorough debate.
"The recent rhetorical banter around banking must be matched by the development of genuine policy options," says Mr Sidoti.
A copy of the essay can be downloaded from: tinyurl.com/2g3pean
Provided by University of Western Sydney
