Abstract
15. Australia’s financial markets and institutions Gordon de Brouwer Financial services are an important part of the Australian economy. Finance and insurance is the third largest industry sector in Australia, contributing about 71/2 per cent of GDP in the year to June 2002, making it twice as big as agriculture and 40 per cent bigger than mining.1 It is a rapidly growing sector, double what it was 15 years ago and growing at about 51/4 per cent a year. The sector employs about 350 000 people, almost 4 per cent of the Australian workforce (see Axiss Australia 2003). The markets that underpin the sector are extensive, sophisticated and liquid. Australia has well-developed money, fixed interest, equity, foreign exchange and derivatives markets. Its institutions are strong, diverse, sophisticated, and active in all financial activities. Australia’s banking system and financial market regulation are classified by the World Economic Forum as the second most sound in the world. In this context, it is straightforward to see that Australia is one of the leading financial systems and centres in East Asia. Because Australia is part of East Asia, the size, breadth and depth of financial activity in Australia make it one of the key financial sectors in the East Asian region. Australia is also involved in cross-border financial activity in East Asia (as well as beyond), although this activity is incomplete since financial development in East Asia is incomplete. As is the case for many countries in the region, Australia’s financial….
Original language | English |
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Title of host publication | A New Financial Market Structure for East Asia |
Publisher | Edward Elgar Publishing Ltd. |
Pages | 382-413 |
Number of pages | 32 |
ISBN (Electronic) | 9781845428143 |
ISBN (Print) | 9781843769439 |
DOIs | |
Publication status | Published - 1 Jan 2005 |