The House of Representatives Standing Committee on Economics has commenced its review of the performance and strengths of Australia’s banking and financial system. The Chair of the committee, Mr David Coleman, MP, stated that ‘the hearings will provide an opportunity to scrutinise the banks on how they balance the needs of customers, shareholders and the broader community.’
The Treasurer has asked the committee to hold public hearings at least annually with the four major banks focusing on:
- domestic and international financial market developments as they relate to the Australian banking sector and how these are affecting Australia
- developments in prudential regulation, including capital requirements, and how these are affecting the policies of Australian banks
- the costs of funds, impacts on margins and the basis for bank pricing decisions,and
- how individual banks and the banking industry as a whole are responding to issues previously raised in Parliamentary and other inquiries, including through the Australian Bankers’ Association’s April 2016 six point plan to enhance consumer protections and in response to Government reforms and actions by regulators.