Question

Compared to Singapore, South Korea, Hong Kong and Malaysia, what are the advantages Australia has in promoting as an International Financial Centre (IFC)? Provide examples.

Answer 1

Compare to Singapore, South Korea, and Hong Kong, Advantages that Australia has in promoting as an International Financial centre are as follows-

A. Currency of Australia is much stronger than other currencies like Singapore and Hong Kong and Malaysia because it is trusted currency and it is subject to less manipulation.

B. Australian economy is much more developed than other mentioned economy because Australian economy has highest GDP then other economies so it will be promoting a lot of foreign direct investment and attracting because of large size of economy.

C. There will much more transparency in governance of these International Financial centre in Australia as Australian economy is always known for good governance.

D. There would be less political intervention in this International finance center in Australia because there is much more independence to the operations of organisation then other economies

E. Australian government is always promoting a fair and equitable equity Markets and it will be promoting international financing sector by preparation of favourable rules and regulation which will be helpful in attraction of foreign direct investments into the Australian markets.