Australian structured finance bankers are celebrating after the government committed an extra A$4bn to support residential mortgage-backed securitisation. But rather than increase the market’s reliance on state help, the government should invest wisely and wean issuers off a dangerous addiction to taxpayers’ money.
Australian treasurer Wayne Swan assigned an additional A$4bn ($4.21bn) to the Australian Office of Financial Management on April 8 after announcing the windfall in his December banking reforms. The AOFM has been given A$20bn to invest in RMBS since November 2008 (including the latest hand-out), and now has
Please take a trial or subscribe to access this content.
Contact our subscriptions team to discuss your access: firstname.lastname@example.org
Or sign up for a trial to gain full access to the entire site for a limited period.
To discuss GlobalCapital access for your entire department or company please contact our subscriptions sales team at: email@example.com or find out more online here.