FED:No rate cut, no help, Greens tell banks

AAP General News (Australia)
12-07-2011
FED:No rate cut, no help, Greens tell banks

The Australian Greens believe banks that don't pass on the latest official interest
rate cut in full should not get any government support in the event of another financial
crisis.

The Reserve Bank of Australia yesterday cut the cash rate by 25 basis points.

Yet none of the big four banks - ANZ Bank, Commonwealth Bank of Australia, National
Australia Bank or Westpac - have so far flagged their response.

Greens banking spokesperson ADAM BANDT says during the global financial crisis the
banks received significant support from the government with cheap credit.

Mr BANDT says if the banks aren't willing to support the Australian people with an
interest rate cut, the government shouldn't give them generous support if the European
financial crisis hits their bottom line.

He says the big banks can afford to pass on the rate cut in full given their combined
record annual profit of more than $23 billion.

AAP RTV cb/rl/ar

KEYWORD: RATES GREENS (CANBERRA)

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