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A more active Australian corporate bond market could enhance investment and venture capital

THE House of Representatives Standing Committee on Tax and Revenue has today (Monday) presented its report titled The Development of the Australian Corporate Bond Market: A Way Forward.

Corporate bonds are a type of debt security, issued by entities to finance their business operations. In its report, the committee makes 12 recommendations to support the development of a more active corporate bond market in Australia.  

The committee’s recommendations aim to remove barriers to the issuing of corporate bonds as well as raise awareness about the benefits of corporate bonds, both for investors and issuers. Specifically, the committee’s recommendations include ensuring that investors have access to timely and useful information about corporate bonds, lowering the minimum investment parcel to $1,000 for corporate bonds, to improve accessibility to more investors, reviewing the licensing regime for credit rating agencies to minimise access barriers, and streamlining disclosure requirements for the issuing of simple corporate bonds. 

The committee’s recommendations also include proposed amendments to the relevant regulations to allow for the early redemption of simple corporate bonds, as well as a review of Chapter 2L of the Corporations Act 2001 (Cth) with the aim of increasing the availability of trustees for the retail bond market.

Further, the committee recommends a review of the regulatory reforms implemented in New Zealand’s corporate bond market to further develop and make more liquid Australia’s corporate bond market.

Committee chair, Jason Falinski MP, advocated for regulatory changes in this space.

"It is the hope of this committee that the government will commence implementing recommendations as soon as possible as each recommendation will result in unleashing the considerable power of the corporate bond market in Australia," Mr Falinski said.

A full copy of the committee’s report can be found on the inquiry’s website.

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Referendums inquiry to hear from Electoral Commission

ON TUESDAY the House Standing Committee on Social Policy and Legal Affairs will hold the third public hearing for its inquiry into constitutional reform and referendums.

The Committee will speak with the Australian Electoral Commission (AEC) to learn about its role in public education about referendums and the operational aspects of referendum delivery.

Chair of the committee, Andrew Wallace MP said it was necessary to inquire into the mechanics of referendums and whether the current legislation and processes were fit for purpose.

"The committee has heard from other government agencies about the policy environment for constitutional reform. The AEC will be able to provide information on the delivery and mechanics of a referendum and how it engages and educates the public about these processes," Mr Wallace said.

Further information about the inquiry, including the terms of reference and a program for the committee’s hearing, is available on the inquiry webpage at: www.aph.gov.au/constitutionalreform.

Public hearing details

Date: Tuesday, 26 October 2021
Time: 4.30pm to 5.30pm (AEDT)

Due to Covid-19 restrictions, committee proceedings held in Parliament House are not currently open to the public. The hearing will be broadcast live at aph.gov.au/live.

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It’s a long runway to recovery for Australia’s travel agents

WHILE THE NEWS fully vaccinated Australians can soon travel internationally without having to quarantine is very welcome, it’s unfortunately a long runway to recovery for Australia’s travel agents and businesses.

Australia’s travel agents and businesses have been in hard lockdown for more than 600 days. This hard lockdown will continue until international travel returns to normal levels with pre-COVID flight volumes, seat capacity and the removal of the current requirement that non-Australians even if fully vaccinated must hotel quarantine
 
Life for Australia’s travel agents only returns to normal after international travel is back in full swing. This is because travel agents only receive the bulk of payments generated from bookings AFTER travel takes place. 
 
Until international travel normalises which the Prime Minister has said won’t happen before March 2022, travel agents and businesses need ongoing support.

“With Singapore coming on line soon, and multiple destinations opening up for Australians, we are all looking forward to getting those passports out and getting travelling again," AFTA CEO Dean Long said.

“Travel expertise to navigate the complexities of COVID-travel is needed now more than ever and as events and tourism begin to ramp up again, travel agents will be essential. Our members are easy to find and everywhere from on-line to on the high street and proud to be using our travel expertise to support Australians through COVID travel and beyond.

“However, Australia’s travel agents and businesses have been in hard lockdown for more than 600 days and until airlines and cruise capacity return to normal levels, which won’t be before the second quarter of 2022, we need support," Mr Long said.
 
“The 30,000 Australians who work in Australia’s travel sector and the 3,000 agencies and businesses who employ them urgently need ongoing Government help so we can keep providing the expert support travellers need as tourism gets back on track and recovers.”

Prior to COVID, the industry has experienced year on year growth of 11 percent and maintained growth of 7.25 percent over the past five years. In 2018-19, Australians spent more than $46 billion on international travel, representing the largest import sector of the Australian economy.

About 70% of this international travel was booked through Australian travel agents. Each year travel agents collect taxes worth $1 billion and contribute $28 Billion nationally to the economy.

 

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Industry welcomes Qantas expansion of services

 THE RECENT announcement that Qantas will speed up its timetable for the resumption of flights to a number of markets over the next three months is a further positive sign for Australia’s tourism industry, according to the Australian Toruism Export Council (ATEC).

“This is another strong sign that Australia is on the path to reopening, giving hope to thousands of tourism businesses who have been left without an income since March 2020,” ATEC managing director Peter Shelley said.

Flights from Sydney to Singapore, Bangkok, Phuket, Johannesburg and Fiji will resume ahead of schedule from as early as November 23 for Singapore, and throughout December and January for the other destinations.  Also very encouraging was the announcement from the Prime Minister that there could also be a quarantine-free Singapore travel bubble opening up very soon, Mr Shelley said.

“While this move is about getting Australians back home and families back together, it will also help the industry to open up and fine tune services for the resumption of full-scale travel," he said.

“We congratulate Qantas on their leadership and the Australian community on their uptake in vaccinations which has helped to get us to this point earlier than expected and look forward to announcements by the Federal Government on the date we can welcome back international travellers."

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St Vincent's Hospital honoured at 2021 NSW Business Awards for Sydney

ST VINCENT'S HOSPITAL Sydney has received two awards for its contribution to the community and diversity at the 2021 Business NSW Business Awards.

The hospital was one of 12 recipients to be honoured in the NSW Business Awards’ Sydney City regional division and will now be in contention for a State Business Award in November. The Awards are held in partnership with the City of Sydney and recognise growth, entrepreneurship and business success.

The hospital’s COVID-19 response took out the award for the most outstanding community or cultural organisation while its innovative program promoting better health outcomes for the Aboriginal and Torres Strait Islander communities won the top prize for excellence in diversity and inclusion.

Sydney Lord Mayor Clover Moore hailed St Vincent’s contributions during the unprecedented Sydney lockdown and vaccination roll out as phenomenal.

“The hospital’s tireless operations at the frontline of the Covid pandemic, as well as the roll out of vaccinations for so many in our community, has been nothing short of life changing,” Cr Moore said.

“But what is truly wonderful is seeing how the hospital, even under the duress of the pandemic, still forged ahead with their programs to embrace diversity and inclusion.”

St Vincent’s Stay'n In, Stay'n Deadly flexi clinic was founded to promote a safe and welcoming space for Aboriginal and Torres Strait Islander patients as well as reducing waiting times and cutting the percentage of incomplete treatment.

“After staring down the challenges of 2021, it’s wonderful to be able to celebrate and reward those who have done it so tough and made such an important contribution to our city,” Cr Moore said.

St Vincent’s CEO, associate professor Anthony Schembri said the awards were particularly special this year.

“At the heart of everything we do at St Vincent’s is our longstanding mission to serve our community – particularly the poor and vulnerable," Prof. Schembri said.

"These two awards represent important validation that we continue to remain true to this mission, particularly in the face of some of our greatest health challenges. 

“It’s particularly wonderful to receive these awards from the City of Sydney and NSW Business, a like-minded organisation that is partnering with us in many of our endeavours to support the community’s most vulnerable. I also want to salute our dedicated and capable staff who are so unflinching in the determination to roll up their sleeves and serve our mission so authentically,” Prof. Schembri said.

Business NSW chief executive officer Daniel Hunter said the awards recognise business success and resilience from sectors across the state.

“In 2021, every industry, from health care to hospitality, retail to recruitment, was forced to pivot and innovate in order to deal with fallout from the pandemic. These awards showcase the businesses that shone brightest in very dark times,” Mr Hunter said.

“It’s important too that we also recognise the local chambers that provided leadership and vision throughout these unchartered waters, which is why we’re delighted to be able honour the outstanding commitment from the Darlinghurst Business Partnership.”

2021 NSW Business Awards Sydney City division winners:

Excellence in Diversity and Inclusion: St Vincent's Hospital Stay’n Deadly & Stay’n In Project.

Excellence in Export: HIVERY - Exporting AI retail to the world.

Outstanding Business Leader: Neil Sharma, Eye and Retina Specialists.

Outstanding Community or Cultural Organisation: St Vincent's Hospital COVID-19 Response.

Outstanding Employee: Vicky Lee, Ovira.

Outstanding Local Chamber: Darlinghurst Business Partnership.

Outstanding Start Up: Share with Oscar.

Outstanding Young Business Leader: Jill Berry, Adatree

Sydney City Excellence in Business: MacAlpine.

Sydney City Excellence in Micro Business: Lion and Cub Photography.

Sydney City Excellence in Innovation: Eye and Retina Specialists, Slit Lamp Shield.

Sydney City Excellence in Small Business: 2Stay Accommodation Group.

Sydney City Excellence in Sustainability: Koskela.

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