South Africa's bank 15th most secure in the world

[Von Tonner]

The World Economic Forum this week rated South Africa’s banks the 15th most secure out of 134 countries rated, beating even Switzerland (16th), Germany (39th), the US (40th) and Britain (44th).

Our Finance Minister said “That is a very important accolade,” adding that strict bank regulation was among measures that had built confidence in South Africa’s financial system.

There was a time back that SA Banks were offering credit cards willy nilly. I personally was getting calls from banks I did not even bank at offering me credit cards with immediate credit available running into $20,000 upwards. Then the Minister introduced the National Credit Act which, among other things, forced all banks and financial institutions to offer credit under strict control measures. Now, with these measures in place if you want a loan from your bank it does not matter what securities you put up it all depends on your balance sheet and whether you can afford to service the debt. So, for example, you have $1million of your own cash invested in a bank and you want a loan of $20,000 before you could do that transaction over the phone no problem. Today, you would need to make an appointment, have current income and expense sheets which would substantiate your claim that you could servie capital and interest payments - plus of course a good financial track record.

When this law was introduced the first sector to feel the effect was our housing market as it weeded out the risky buyers. Now, having gone through the pain the country as a whole is in a far better shape to weather the current world financial turmoil. This is one of few examples where the electorate can thank an elected official for doing his job properly and been awake on his watch.

[bookworm_020]

Australia can do better!

All four of our major banks are in the top twenty! Not suprising due to the amount of fees and charges!

[Konovalov]

Originally Posted by bookworm_020

Australia can do better!

All four of our major banks are in the top twenty! Not suprising due to the amount of fees and charges!

Yep. Not to mention that we are in a better position to deal with the global economic slowdown thanks to a large budget surplus. We can thank Howard and the Libs for that one. Also there is plenty of room to maneuver with regard to interest rates by the Reserve Bank of Australia. So we have a few monetary and fiscal policy options available to us to cope with the tough times ahead.

[bookworm_020]

It will still hurt, but at least it won't be as bad as some countries will feel. IF this means that Australians learn to put the credit card away and start to save a bit more, then at least this large black cloud has a silver linning of sorts!

[Geno_Mariner]

Originally Posted by Konovalov

Yep. Not to mention that we are in a better position to deal with the global economic slowdown thanks to a large budget surplus. We can thank Howard and the Libs for that one. Also there is plenty of room to maneuver with regard to interest rates by the Reserve Bank of Australia. So we have a few monetary and fiscal policy options available to us to cope with the tough times ahead.

I'm lovin' Ruddsy so much for the $1000 bonus. That means I can get meself some proper Horse competition stuff and a lil' car, etc. Although I am glad we Aussies will be able to have ways of getting through this slowdown.

I hate this Global sh*t so much And good for Ruddsy about to deal with those greedy asses of the Coroporates. Let's hope all of this financial thingo will blow over and return to normal so those people won't be running around shouting "Oh noes!".

Heard the news US, Asia and France... iirc, have gone into recession.

[Von Tonner]

Interesting article given that SA, Australia, New Zealand, et al are possibly going to be the least effected by this current economic crisis

"It is inadmissible that we'll pay for the irresponsibility of speculators that transformed the world into a gigantic casino. At the same time they gave us lessons on how we should govern our countries."

"The pillars of stability ... potentially lie in the south," said South African President Kgalema Motlanthe.

http://in.reuters.com/article/topNew...BrandChannel=0

[UnderseaLcpl]

Still, S. Africa ranks 57th in the index of economic freedom, 76th in the PPP ranking (purchasing power per capita) and 77th in GNP, despite being the 25th-largest nation in the world, and having a wealth of resources, to boot.

Whilst it is good that S. Africa pursues responsible banking policies, they have a lot to work on in the area of economic and personal liberty.

[UnderseaLcpl]

edit- gaaah! I double-clicked. Sorry.

[bookworm_020]

Originally Posted by Geno_Mariner

I'm lovin' Ruddsy so much for the $1000 bonus. That means I can get meself some proper Horse competition stuff and a lil' car, etc. Although I am glad we Aussies will be able to have ways of getting through this slowdown.

I hate this Global sh*t so much And good for Ruddsy about to deal with those greedy asses of the Coroporates. Let's hope all of this financial thingo will blow over and return to normal so those people won't be running around shouting "Oh noes!".

Heard the news US, Asia and France... iirc, have gone into recession.

I'm glad that he's going after bankers who have been padding their pay packets, but annoyed at some of the measures that he's just put in place. The big increase in first home buy's grants? the last thing that was really need was to see more people go into debt that really can't afford it! The bonus is flawed, as Geno_Mariner as mentioned, people will spend it on things they don't need, instead of paying off debt.

I'll miss out on anything as I'm a full time worker, married with no kids and in a middle income job. Some days it seems to be better to be unemployed and have a tribe of brats if I ever want to get any money off the government. I just pay for everyone else..... I'll end my rant now....