Australia's Debt

In our financial climate it is hard to see outside of it at the moment. We are all so busy focusing on the problems that we are facing with subprime mortgages and debt consolidations and bailouts that it is tough to see that other countries are facing similar problems.

Australia’s Treasurer Wayne Swan has announced that they have lost control of their financial sector. Swan says that because of their policies of the past two decades, they are facing real problems in their financial areas.

Today they saw a 100 point cut, which should help with the market and stabilize banks. However, some banks are not passing on the cuts to their customers. This is the sort of problem that has plagued the country for some time now and has led them to the debt problem that they are facing.

They were facing an explosion of credit and a surge in property prices, just like us, and now they are looking at large debts, no assets, and seriously considering debt consolidations and bankruptcies to fix the mess that they are in. They are looking at long years of working to try and get a hold of their debt.

They say that they tried deregulation and it did not work. Not only did it not work, but it worked badly. Now they are looking at turning it around and trying something else instead – sound familiar?



 

 

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