Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Hansard source

I thank Senator Ferguson for the question but you have to ask: where has he been? I know he is a good traveller himself, but I think everybody in Australia would know that the financial difficulties in America and in the world financial markets did not start on 28 August. The subprime crisis has been around for months, and obviously Senator Ferguson reflects the opposition’s lack of economic understanding in claiming that the financial issues affecting world markets are very recent news.

The opposition may well think that the Prime Minister going to the United Nations General Assembly is not appropriate; that is a decision for them. But I do not think anyone seriously maintains that it is not a huge advantage for the Prime Minister to engage with other world leaders in response to one of the greatest financial crises that we have seen for many a year. There are really difficult circumstances confronting the Australian economy. There are really difficult international circumstances, which Senator Sherry outlined in his answer to the previous question. To somehow suggest that it is not important that the leader of the Australian government engages in international discussion, engages in confronting those challenges and engages in trying to work out solutions that provide security for international markets and for those who invest in them, I think, is a sign that the Liberal opposition have just absolutely lost the plot.

We had Senator Coonan raise the question about the banks. We had a question last week about the impact on Australian superannuation accounts. These are really important issues, issues that this government takes seriously. These pressures from the international financial turmoil are putting pressure on financial institutions and are putting pressure on investments. Those issues directly impact on Australian citizens, on their savings and on their investments. We think Australia is well placed to resist the worst impacts of these developments, but these are developments that threaten us. They do put pressures on our economy, and we are working very hard to try to ensure that we protect Australia to the best extent possible. That is one of the reasons why we are very keen to get our budget bills passed, to have the surplus established—so that we can protect the Australian economy and protect the economic conditions that act as a buffer to us and help protect us against the worst impacts of this financial crisis.

It is perfectly appropriate that the Prime Minister provide leadership in Australia’s response, that the Prime Minister engage with those involved in the international response to financial market developments, and I think all Australians would appreciate that the Prime Minister takes these issues very seriously. I would urge Senator Ferguson and the opposition to treat these issues much more seriously than they appear to be and to take economic responsibility seriously and pass the budget. Help us protect Australians from these conditions.