A national bank
PM TURNBULL is planning to borrow money to fund infrastructure such as roads and other projects.
The recently elected “jackaroo” PM Trudeau of Canada is planning to run up their deficit too, and splurge on infrastructure spending. Maybe they have been yakking to each other.
Australia’s PM has taken a swipe at the major banks for raising home mortgage rates. I bet Malcolm would love to tell the banks to keep the rates as they were, but they would just tell him to take a hike. PM Malcolm can’t legislate for lower rates, but what he could do is to re-invent the Commonwealth Bank – you know, the one former PM Keating sold off. The new bank, being owned and run by the Federal Government, would be able to lend money for any project at rates the government decided, and those rates, being lower than the commercial banks, would force the other banks to lower their rates or go out of business.
Such a move by PM Malcolm would cause old King O’Malley to smile benignly from the heavens. Then that youngster PM Trudeau, in far-off Canada, might get the same idea. Jay Nauss, Glen Aplin