Original article by Clancy Yeates, Jonathan Shapiro
The Australian Financial Review – Page: 24 : 18-Sep-14
The Australian Government is likely to reject a "bail-in" regime for large banks. The proposed rule for the largest 29 banks would bail in some bondholders if a bank collapsed, rather than using taxpayer funds. Australian Prudential Regulation Authority Wayne Byres said that there were practical difficulties in introducing a bail-in regime. Moody’s Investors Service said that the regime could reduce access to funding. However, Australia’s membership of the Financial Stability Board may force it to accept the regime
CORPORATES
AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, MOODY’S INVESTORS SERVICE INCORPORATED, FINANCIAL STABILITY BOARD, GROUP OF TWENTY (G-20), COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB