THE Australian Small Business and Family Enterprise Ombudsman (ASBFEO) Kate Carnell has welcomed the news that Greensill Capital will stop providing its supply chain finance services to big companies that do not offer fair payment terms.

The announcement from Greensill Capital comes immediately following the release of ASBFEO’s Supply Chain Financing Position Paper, which provides a suite of draft recommendations to be finalised before a full report is handed down at the end of March 2020.

“We are delighted to see that Greensill Capital will no longer provide their product to businesses with poor payment terms, that is, in excess of 30 days,” Ms Carnell said.

“A key recommendation of our position paper is that all businesses, regardless of their size, should be paid within 30 days.

“Where payment terms are 30 days or less, supply chain finance should be available to those small businesses that want to be paid faster," she said.

"We have a real problem when large businesses extend their payment terms from 30 days to 60, or even 90 days, and then offer a supply chain financing product to those small business suppliers who are forced to take a haircut to get paid on time. Today’s announcement by Greensill Capital makes it clear that supply chain financing businesses won’t be used as a whipping boy for the appalling treatment of small business by large businesses.

“It is great to see businesses like Greensill Capital, along with Telstra and Rio Tinto, show corporate leadership on this issue. We will continue to monitor Australia’s other corporate players and encourage them to follow the leadership of these companies.”

www.asbfeo.gov.au

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FUND manager Atlas Advisors Australia is urging the Australian Government to recognise the long-term benefits of foreign investors to the Australian economy by increasing incentives under the Significant Investor Visa scheme.

The call  comes as the February 14 deadline approaches for public consultation on the “Business Innovation and Investment Program: Getting a better deal for Australia”, including the settings for Investor visas and Significant Investor visas.

Executive chairman of Atlas Advisors Australia, Guy Hedley said the fund manager entirely supported the review and the Federal Government’s objectives to maximise the opportunities and benefits to Australia from the program. 

“The Significant Investor Visa program has brought in billions to the Australian economy, assisting the growth of Australian companies and startups, creating employment opportunities and increasing our exports,” Mr Hedley said.

“However the hard figures do not account for the longer-term economic and other benefits of the scheme.”

Mr Hedley said the economic impact of the SIV scheme was currently measured only across the four-year investment period of the visa. 

“This does not account for the impact super wealthy migrants have on the Australian economy for the years after they obtain permanent residency,” Mr Hedley said.

“These new migrants not only pour billions of dollars into our economy, they also bring skills, expertise and experience that is assisting Australia to enhance its competitiveness in global trade and build better links with international markets. These effects last for generations.”

Aside from the SIV investment requirements, many applicants make additional investments to improve their knowledge of the business environment and build stronger connections to Australian communities.

“They also donate to charities to help people in need in and to help us better protect our environment,” Mr Hedley said.

With more than $1.7 billion of funds under management, Atlas Advisors Australia manages the investments of many of the highest net worth Chinese investors into Australia.

Mr Hedley urged the Australian Government to remain committed to the SIV program and to strengthen incentives for applicants.

“The Federal Government’s recognition of the value and contribution that our new migrants make is critical to encouraging ongoing investment in Australia.”

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THE Joint Committee of Public Accounts and Audit has commenced an inquiry to consider the cyber resilience of government entities prioritising information security. As part of this inquiry, the committee will examine two Auditor-General’s reports including:

No. 1 (2019–20) Cyber Resilience of Government Business Enterprises and Corporate Commonwealth Entities

No. 13 (2019­–20) Implementation of the My Health Record System

Lucy Wicks MP, chair of the committee, said, "The ability to design and maintain secure cyber networks is essential in modern governance. As such, it is a priority of the Committee to ensure that Government entities have the appropriate systems in place to protect information security."

Submissions from interested individuals and organisations are invited by Thursday, March 19, 2020. The preferred method of receiving submissions is by electronic format lodged online using a My Parliament account.

Further information about the inquiry is available on the committee's website.

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THE Queensland Resources Council (QRC) has welcomed the appointment of Keith Pitt as the Minister for Resources, Water and Northern Australia.

QRC chief executive Ian Macfarlane said it was good news for the resources sector to see another Queenslander taking on the important economic portfolio.

“The resources sector is at the heart of the Australian economy, and that is especially so in Queensland where it supports one in every seven jobs and generates one in every five dollars,” Mr Macfarlane said.

“Keith Pitt has a reputation for straight-talking and as a regional Queenslander he knows first-hand about the importance of the resources sector to create jobs and investment in regional communities.

“He also has a strong understanding of the policy issues that relate to the resources sector, in particular the need for affordable and reliable energy," he said.

“QRC looks forward to the new Minister building on the substantial policy work of his predecessor Senator Matt Canavan, especially in the areas of maintaining Queensland’s role as a resources powerhouse through our coal, gas and minerals sectors. 

“We are also keen to see the ongoing development of the critical minerals strategy where Queensland has an important role to play in the development of renewable energy minerals such as cobalt, nickel, rare earths, vanadium and manganese, and advanced technology minerals such as rare earths, scandium, tungsten and molybdenum.

“Queensland has led the way in the development of sustainable investment, especially in our gas industry which powers the East Coast gas market. 

“QRC looks forward to meeting with the incoming Minister to further discuss the policy developments that can encourage new and future investment and create new jobs.”

www.qrc.org.au

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