January 6, 2014
Outgoing AMP CEO, Craig Dunn, has been appointed to the panel which will conduct the Government’s Financial System Inquiry.
The Inquiry, described by the Coalition as a ‘root and branch review’ of Australia’s financial system, is to be led by former Future Fund Chairman, David Murray AO. The panel is charged with examining how the financial system could be positioned to best meet Australia’s evolving needs and support economic growth.
Mr Dunn will join Mr Murray and three other representatives from the finance, business and academic community:
- Kevin Davis, a Professor of Finance at the University of Melbourne and Monash University
- Carolyn Hewson AO, a former investment banker with Schroders Australia
- Dr Brian McNamee AO, the former CEO of CSL
Treasurer Joe Hockey made the announcement just prior to Christmas, saying he had asked the panel to release an interim report by mid-2014.
“The next step for the Inquiry will be to receive submissions in line with the terms of reference. Submissions will open in early January and close at the end of March,” Mr Hockey said.
He said there had been broad support for the draft terms of reference for the Inquiry, which were released in November 2013. As a result, the Treasurer said only minor changes were made to the terms, which include:
- A report on the development of the Australian financial system since the 1997 ‘Wallis Report’
- A refresh of the philosophy, principles and objectives underpinning the development of a well-functioning financial system
- Consideration of the emerging opportunities and challenges likely to drive further change in the global and domestic financial system
- A review of the effectiveness of the regulation of companies and trusts
- An examination of the taxation of financial arrangements, products and institutions
“In framing submissions, stakeholders are asked to consider the impact of changes to Australia’s financial system since the 1997 Wallis Report, identify factors most likely to influence the future development of the system, the principles which should underpin the system, and discuss options for responding to them,” Mr Hockey added.
Submissions will open in early January and close at the end of March. A further round of submissions will be sought after the interim report is released, with the final report expected to be delivered to the Government by November 2014.
Responding to the Treasurer’s announcement, Financial Services Council Director of Policy and Global Markets, Andrew Bragg, said the panel delivered the experience, diversity and perspective needed for the review.
In particular, Mr Bragg highlighted the appointment of Mr Dunn and Ms Hewson, saying they reflected the importance of the industry.
“Craig Dunn has extensive wealth management and superannuation experience as former CEO of AMP which is an iconic Australian financial services business with a significant presence in Asia. Craig will bring strong, contemporary market intelligence to the review given his AMP CEO role concludes on 31 December,” Mr Bragg said.
“With more than 30 years’ experience in the financial services sector, Carolyn Hewson AO also brings extensive experience to the panel. She was an investment banker with Schroders Australia for 14 years and a director of Westpac.”
Mr Bragg added that it was critical the review delivered recommendations which would facilitate Australian financial services exports to Asia and an export-oriented and globally competitive financial services industry.