subject: What are the basic laws that regulate the Australian financial system? [print this page] What are the basic laws that regulate the Australian financial system? The Australian financial system was once protected by government and by distance from the rest of the world. This is all changed with international forces, technology, competition and government macroeconomic reform of including know the reduction in trade barriers, commercialisation and privatisation of government enterprise as well is that the regulation of the financial system in the 1980s.
Recent changes in the Australian financial system include:the ACCC (Australian Competition and Consumer Commission) promoting competition, from the 1960s, such as liberating stockbrokers in 1982 from the then heavy-handed anti-competitive stock exchange rules. The Commonwealth government deregulated the foreign exchange rate in 1983. The Commonwealth government also open thinking to competition by increasing the number of licences available in the Australian jurisdiction and allowing 16 overseas banks to operate in Australia in 1985. The Australian Securities and Investments Commission had its jurisdiction expanded to include the bank/customer relationship. But after the the role of financial institutions such as banks, building societies, credit unions, investment banks and life insurance companies has blurred and now all these financial institutions issue financial products related to and regulated by the Australian Securities and Investments Commission.
The banks in our own share broking companies and provide a range of insurance services, and all the financial institutions are in fierce competition with investment advisors and stockbrokers for the investment dollar. There was a general blurring the of the boundaries between a bank and a financial institution the cause of reform under the Cheques Act 1986 (Cth) by using the generic financial institution instead of the word bank. The law of cheques in banking is built on the word customer rather than client. Becoming a customer is regulated by the common law. A person becomes a customer of a financial institution by entering a contract with the mental institution. A person does not become a customer just by using a casual service of a financial institution, such as getting information from its travel department or cashing a check of the non-customer of the institution. It was distinction such as these, the freed up the banking sector to become much more dynamic and freely competitive in the late 1980s. If you have any questions about the regulation of finance in Australia, please do not hesitate to contact the author using the links below.
welcome to Insurances.net (https://www.insurances.net)
