New banks would start small and scale up over a period of time. Not only would there be a competition for business but also for talent. The processes would be forced to be more efficient. Technology 19. I have already talked about a paradigm shift being brought about by technology in the way the social interactions are taking place.
Another important development was the abolition of capital controls and the floating of the Australian dollar. Prior to the 1980s, there were a range of constraints on capital flows that were intended to prevent or discourage firms from undertaking foreign borrowing. Since these controls were relaxed, banks and other corporations have obtained a significant proportion of funding from offshore bond markets.