COBA responds to FSI interim report

16 July 2014

Australia’s customer owned banking sector has welcomed aspects of the Murray Inquiry’s Interim Report, but argues that it falls short on competition in banking.

Customer Owned Banking Association CEO, Louise Petschler:

“The FSI Interim Report’s finding that the banking market is ‘competitive’ is contradicted by its other findings that regulatory capital requirements are not competitively neutral and that the ‘too big to fail’ problem has become entrenched,” COBA CEO Louise Petschler said.

“Fair and sustainable competition in the banking market is not possible when the regulatory framework advantages only the biggest players.

“Sustainable competition is critical to consumer outcomes, as the FSI interim report explicitly acknowledges.

COBA welcomed the observation that ‘fairness is an important policy objective of the financial system’ with Petschler saying:

“The customer-owned sector strongly endorses the view that ‘fairness involves fair treatment by applying the concepts of integrity, honesty, transparency and non-discrimination which go to building trust in the financial system’.

“A fairer banking system in Australia also relies on better recognition of the customer owned banking model, issues which COBA will be pressing for further review.”

“There are many positive observations in the interim report and we will continue to work constructively with the FSI Panel.”

More on this topic:

Read COBA’s full response on their website: COBA response to FSI interim report, 15 July

Latest news

07 December 2023

Cooperative Identity webinar on-demand

On-demand webinar exploring how we think about, communicate and live our co-operative identity as member-based businesses.
04 December 2023

Finding senior leaders: A recruitment guide for co-ops and mutuals

Recruitment expert Geoff Curran, Practice Leader at Gerard Daniels, shares his valuable insights into the recruitment process for senior leadership positions in...
04 December 2023

BCCM CEO disappointed by the ACCC’s decision

Coles expects its acquisition of two state-of-the-art automated milk processing facilities from Saputo Dairy Australia will be completed in the first half of next year