Again, it is our strong expectation that, wherever practical, Australian institutions will adhere to the ISDA protocol. But the need for robust fallbacks goes beyond contracts that reference LIBOR. This includes contracts that reference other benchmarks, such as BBSW. Fallbacks provide important insurance. And if there’s one thing that LIBOR has shown us, it’s that we shouldn’t take existing benchmarks for granted.
Having said that, with the emergence of new services and greater awareness of their convenience, the move toward the cashless society will not be hampered in the long run. Second, diversification of payment service providers is likely to continue. A recent development of the cashless society seems to be led by NBPSPs such as Bigtechs, Fintechs, retailers and transport companies, rather than banks.