Tarp in the making to cover Australia?
Is this a Tarp in the making to cover Australia? I was reading Brisbane’s CourierMail, when this topic was raised, then googled news topics. I hadn’t seen it reported previously. So the Aust govt is creating its own MackMae by pumping up the business of smaller banks, non-bank lenders. It is supposed to help these smaller institutions to compete against the ‘wholesale printed money supply’ the big four banks have access to. Nah, Australia doesn’t print money! We import it.
The article is not clear. If it is not a TARP type deal with the government buying bad mortgage assets from banks, then it is the government buying good mortage assets, which the US did indirectly through Fannie Mae and Freddie Mac, so the banks will have money to make make more mortgage loans. Either way it doesn’t sound good.