GLOBAL SUB-PRIME CRISIS

BANKILEAKS

Click on our Secret Library of Evidence ------>

    BANKILEAKS Secret Library

Loan Application Forms (LAF's)  

    Bank Emails to Brokers  

    Then Click on 'VIEW NOTEBOOK'

Join us on facebook
 

facebook3           facebook2 

BFCSA
MORTGAGE
DISTRESS SOS

What BFCSA Does...

BFCSA investigates fraud involving lenders, spruikers and financial planners worldwide.  Full Doc, Low Doc, No Doc loans, Lines of Credit and Buffer loans appear to be normal profit making financial products, however, these loans are set to implode within seven years.  For the past two decades, Ms Brailey, President of BFCSA (Inc), has been a tireless campaigner, championing the cause of older and low income people around the Globe who have fallen victim to banking and finance scams.  She has found that people of all ages are being targeted by Bankers offering faulty lending products. BFCSA warn that anyone who has signed up for one of these financial products, is in grave danger of losing their home.

Visitors

Articles View Hits
728369

Whistleblowers' Corner!

To all mortgage brokers, BDMs and loan approval officers! 
Pls Call Denise: 0401 642 344 

"Confidentiality is assured."

Cartoon Corner

Lighten your load today and "Laugh all the way to the bank!"

Lee Doyle

Led by award-winning consumer advocate Denise Brailey, BFCSA (Inc) are a group of people who are concerned about the appalling growth of Loan Fraud around the world. BFCSA (Inc) is a not for profit organisation in the spirit of global community concern and justice.

Click on the Cluster Map.

  • Home
    Home This is where you can find all the blog posts throughout the site.
  • Categories
    Categories Displays a list of categories from this blog.
  • Bloggers
    Bloggers Search for your favorite blogger from this site.
  • Login
    Login Login form

Royal Banksters of Australia (RBA): LITTLE evidence of imprudent lending by Australia. LIES

Posted by on in Corrupt Regulators
  • Font size: Larger Smaller
  • Hits: 1941
  • 7 Comments
  • Print

* RBA: banks should not take risk to meet unrealistic profit goals

 

* No sign yet of inappropriate risk-taking by Australian banks

 

* Euro zone, slower global growth pose risk to world financial system (Updates with analyst comment, market reaction)

 

SYDNEY, Sept 25 (Reuters) - Australian banks are well placed to cope with any shocks from abroad, the country's central bank said on Tuesday, though it also warned them against taking inappropriate risks in order to achieve unrealistic profit goals.

 

In its semi-annual Financial Stability Review, the Reserve Bank of Australia (RBA) highlighted Europe's debt crisis as a threat to the stability of the global financial system as well.

 

At home, it noted that subdued credit demand and higher funding costs had made for a highly competitive environment.

 

"Looking ahead, how banks respond to these obstacles to profit growth could be a key factor for financial stability over the medium term," the RBA said in a 64-page report.

 

"A challenge for firms in a competitive banking environment will be to resist the pressure to ease lending standards to gain market share in the pursuit of unrealistic profit expectations."

 

It was quick to point out there is little evidence so far that Australian banks have been "imprudently easing lending standards" to boost credit growth. But it observed that they are seeking ways to sustain profit growth, including cutting costs.

 

"Such strategies will need to be pursued carefully to ensure that risk management capabilities and controls are maintained," it said.

 

Last month, the country's major lenders including Commonwealth Bank reported flat cash profit and warned of cost pressures, raising doubts they can continue their run of record results.

 

The Australian dollar shrugged off the report, which had been widely expected to give the banking sector a clean bill of health. It last traded at $1.0441, a tad firmer from late New York levels.

 

Shares in the big four domestic banks were mostly higher led by a 0.7 percent rise in Commonwealth Bank and Westpac Bank , outperforming a slightly softer overall market .

 

"Generally, its a very good report card for the financial system, but contained within is a couple of pretty clear warnings," said Craig James, chief economist at Commsec.

 

Part of the reason for the tepid credit demand is that households are continuing to save and pay down existing debt more quickly than required, the RBA noted.

 

This is not a bad thing, given that it'll make indebted households better able to cope with any future income shock or fall in house prices, it added.

 

On the wholesale funding market, the RBA said pressures have eased since late last year and banks have reduced their reliance on it as growth in deposits has continued to outpace credit demand. Deposits now account for 53 percent of banks' funding, up from about 40 percent in 2008.

 

Also helping bolster their resilience to shocks, Australian banks have continued to strengthened their capital positions over recent years, the RBA noted.

 

Still, the central bank warned the financial sector remained vulnerable to swings in global sentiment associated with the problems in Europe.

 

Despite the European Central Bank's latest efforts to tackle the region's sovereign debt crisis, the RBA said there is still "significant implementation risks and many of the underlying problems in the euro area are yet to be effectively resolved."

 

"Given these ongoing difficulties, markets will likely remain sensitive to any setbacks in dealing with the euro area crisis," the report said.

 

"Along with the weaker near-term outlook for global growth, the euro area problems will continue to pose heightened risks to global financial stability in the period ahead."

 

Outside the euro area, the RBA sounded more relaxed saying banking systems of advanced countries were still recovering gradually from the global financial crisis, while those in Asia have largely been resilient to Europe's debt woes, partly because of their domestic focus. (Reporting by Ian Chua; Editing by Eric Meijer)

Last modified on
Rate this blog entry:

Comments

  • Denise
    Denise Tuesday, 25 September 2012

    What a CROCK!!!!!! RBA needs intense questioning in ROYAL COMMISSION into these Low Doc LENDING SCANDALS!
    The banking industry IS the most corrupt, vicious predatory industry ever permitted to do business in Australia during our 242 years! Where is the Prime Minsiter and the Leader of the Opposition? Your silence is deafening. History will record your silence as the cries of the aggrieved go unheard in a sea of red ink.
    No-one was designated to protect consumers of financial products and services. Deliberately so!
    Now we have a legitimate right to ask WHY was the consumer voice ignored?
    [email protected]

  • doyla66
    doyla66 Tuesday, 25 September 2012

    What a sad state of affairs !! Even my chn,their grandparents and anyone else i tell just laugh at these sorts of ludacris statements.How can the evidence be nullified ??

  • doyla66
    doyla66 Tuesday, 25 September 2012

    JULIA GILLARD PM & TONY ABBOTT - YOUR COUNTRY NEEDS YOU - TO STOP THE RAMPANT CORRUPTION IN THE BANKING INDUSTRY.

  • doyla66
    doyla66 Tuesday, 25 September 2012

    Julia Gillard and your associate collegues, can you not hear the call coming from your people who are crying out to you for help and pleading to be set free??? Please stop this madness at once - you can do it if you want to.

  • doyla66
    doyla66 Tuesday, 25 September 2012

    Royal Banksters of Australia inhabit another place high above the real world of borrowers with dirty fraud loan applications. If they don't look then they can't be accused of knowing and doing nothing about it.
    As we all know now, they would only buck pass anyway, so what's the use of educating the RBA. Put them out to pasture with no fat government pension or bonuses. History will judge them, just as we did when we read the Westpac letters, the Streetwise case, and so on.
    ROYAL COMMISSION INTO BANKING - WIDE TERMS OF REFERENCE - WITH NO MORE EXCUSES OR DELAYS.
    ALL OF AUSTRALIA ARE WATCHING THE VAST MAJORITY OUR PARLIAMENTARY LEADERS TRY TO IGNORE THE PROBLEM OF LOAN FRAUD, CORRUPTION AND INJUSTICE.

  • doyla66
    doyla66 Tuesday, 25 September 2012

    I thought the 'R' stood for Robber... Or maybe it was Rong (with a silent 'W') or perhaps Rort
    Hmmmm

  • doyla66
    doyla66 Tuesday, 25 September 2012

    How about rogue - it fits well!! Rogue Bank of Australia!

Leave your comment

Guest Saturday, 15 August 2020