1/ I'm thinking out loud here
Yesterday @JoshFrydenberg releases ridiculous Morrison-hostage-style video
Today, he & @SenatorCash release a joint statement & Joshie does serious media on 2GB/Sky/ABC radio+tv/Courier Mail/6PR about $2 BILLION (there's that word again!)
#auspol
Yesterday @JoshFrydenberg releases ridiculous Morrison-hostage-style video
Today, he & @SenatorCash release a joint statement & Joshie does serious media on 2GB/Sky/ABC radio+tv/Courier Mail/6PR about $2 BILLION (there's that word again!)
#auspol
2/ investment in & establishment of a ongoing fund to prop-up non-bank lenders for small biz loans.
On ABC this am he said the hostage-video had 'achieved the desired result'- which was what? smoke & mirrors? Distraction from today's announcement?
On ABC this am he said the hostage-video had 'achieved the desired result'- which was what? smoke & mirrors? Distraction from today's announcement?
3/ Joshie says we have 'immature or underdeveloped securitisation' in Aust.
What this means is: non-bank lenders who lend to small biz charge high rates bcuz it's high risk, their debt can't be sold on. So, Joshie wants to effectively buy their debt.
2gb.com/josh-frydenber…
What this means is: non-bank lenders who lend to small biz charge high rates bcuz it's high risk, their debt can't be sold on. So, Joshie wants to effectively buy their debt.
2gb.com/josh-frydenber…
4/ Q1. So, why hasn't the 'private sector' developed it?
Q.2 LNP values are LESS govt intervention, not MORE, so why secure volatile debt markets?
Q.3 Is this related to 'payday lenders'?
Q.2 LNP values are LESS govt intervention, not MORE, so why secure volatile debt markets?
Q.3 Is this related to 'payday lenders'?
5/ It sounds like a trickle-down-economics theory again, they're doing this with the 'aim' of 'encouraging' lenders to reduce rates.
And, Joshie's pushing it for all it's worth, 8 tweets today about it so far!
And, Joshie's pushing it for all it's worth, 8 tweets today about it so far!
5/ Joshie on @2GB873 w/ Chris Smith said 90% of Aust business is 'small business'
Sorta, not exactly true, because people who work on an ABN are considered 'small business owners' - that includes taxi drivers, uber, professionals, tradies, contractors, consultants, etc
Sorta, not exactly true, because people who work on an ABN are considered 'small business owners' - that includes taxi drivers, uber, professionals, tradies, contractors, consultants, etc
6/ Only 3% of small biz employ 20+ people
Small business 'employ 40% of the workforce' - mostly it is themselves, that knocks a lot of people out of the legitimate 'small business' category
Small business 'employ 40% of the workforce' - mostly it is themselves, that knocks a lot of people out of the legitimate 'small business' category
7/ So, $2 bill seems an awful lot of money to prop-up or secure the debt of non-bank lenders in a volatile market with high risk attached, and, to what end?
If the big banks won't lend this money to small business, then why should non-bankers lenders?
If the big banks won't lend this money to small business, then why should non-bankers lenders?
8/ And, why should the govt encourage small business to take on loans that the big banks don't think they can afford?
If the economy is going so well, and business prospering, then why aren't the private sector doing this? Why does the govt need to be involved?
If the economy is going so well, and business prospering, then why aren't the private sector doing this? Why does the govt need to be involved?
9/ When asked on 2GB 'where did this idea come from?'
JF: 'Morrison'
Smith: actually Labor did it during the GFC
JF: yes
The difference was Labor invested in bricks & mortar not securing the debt of non-bank lenders, a volatile & risky financial environment.
JF: 'Morrison'
Smith: actually Labor did it during the GFC
JF: yes
The difference was Labor invested in bricks & mortar not securing the debt of non-bank lenders, a volatile & risky financial environment.
10/ As an aside, all this is happening concurrently with the payday lending stuff: related or unrelated? IDK
So Joshie is drafting legislation to be presented to Parliament early in the new year. It'll need to be pretty tight I think cuz there's lotsa scope here for 'dodginess'
So Joshie is drafting legislation to be presented to Parliament early in the new year. It'll need to be pretty tight I think cuz there's lotsa scope here for 'dodginess'
11/ The devil will be in the detail, so watch this space.
LNP seems to love giving BILLIONS to banks but only speaks in millions when funding to the drought or Headspace or Aged Care, etc.
A few more details on how it's being funded would be good too.
LNP seems to love giving BILLIONS to banks but only speaks in millions when funding to the drought or Headspace or Aged Care, etc.
A few more details on how it's being funded would be good too.
12/ Economists say a recession is coming. So, alarm bells are sounding for me with this $2 billion announcement
LNP's out-of-control spending needs to be reined in before they drain the Treasury dry - making it harder for those who govern next.
LNP's out-of-control spending needs to be reined in before they drain the Treasury dry - making it harder for those who govern next.
13/ Remember these names - LNP love their catchy slogans for their initiatives - personally, I think it's a bit of a wank and plain speak would be much more well-received, but hey that's just me.
Australian Business Securitisation Fund
Australian Business Growth Fund
#auspol
Australian Business Securitisation Fund
Australian Business Growth Fund
#auspol
14/ This sorta stuff doesn't come naturally to me, so please correct me if I'm wrong on any of these points.
We all know the LNP are cunning as shithouse rats, so keep an eye 'em
#auspol #insiders #thedrum @abc730 @independentaus @MichaelPascoe01 @andrewprobyn @albericie
We all know the LNP are cunning as shithouse rats, so keep an eye 'em
#auspol #insiders #thedrum @abc730 @independentaus @MichaelPascoe01 @andrewprobyn @albericie
Update: Joshie has now tweeted about this $2 billion Securitisation Fund 10 x today. (See Tweet No.5, the first one LOL typo)
#auspol
#auspol
@threadreaderapp 'unroll' please
