David Murray has 12 months to work out how Australia’s financial system can be made more efficient.
As former chief executive of the Commonwealth Bank and chairman of the Future Fund, he has the pedigree.
As head of the inquiry into Australia’s financial system, he will make recommendations to foster an efficient, competitive and flexible financial system with “stability, prudence, integrity and fairness”.
The aim is to reduce costs, lower fees and find greater efficiency in the allocation of capital.
The new Abbott government wants to reduce the regulatory burden on the financial services sector.
Murray will head a committee of four eminent Australians drawn from the finance, business and academic sectors.
The committee will draw on the expertise of a Special External Council comprising five international business people to advise on international competitiveness and offshore regulatory frameworks.
Draft Terms of Reference for the inquiry are being released for a two week consultation period.
The inquiry will be asked to report by November 2014 on:
- How the financial system can more efficiently allocate Australian sourced capital to minimise our exposure to volatility in global capital markets;
- How we can best balance competition, innovation and efficiency, with stability and consumer protection;
- The role and impact of new technologies, market innovations and changing consumer preferences; and
- International integration, including international financial regulation.