23 June 1997
E&OE..........................................................................................................................
Thank you very much Mr Russell, ladies and gentlemen. As I indicated to those of you who were at the Menzies lecture a few moments ago, one of the things that I've endeavoured to do in the few days that I've been in Britain, is that whilst acknowledging absolutely the history of the relationship between our two countries, I have wanted to focus people's energy and attention on the potential of the relationship into the future.
And this organisation bringing together as it does the people who are involved in business between Australia and Britain and through Britain into other areas into Europe, plays an absolutely crucial role in building that more effective future for the relationship. There are a lot of people who don't understand just how heavy is the investment relationship between Britain and Australia.
There is something like $87 billion Australian dollars of British investment in Australia and Britain is of course the second largest source after the United States of foreign investment in our country and surprisingly to many Australians and to many other people there is on the other side about a $27 billion Australian direct investment in the United Kingdom and although the pattern of trade between Australia and East Asia has grown enormously over the last few years, over 60% of our trade goes to East Asia, when it comes to outward foreign investment Britain and some of the other nations of the European Union are still by far the preferred outward destination of foreign investment in Australia.
Without in any way wanting to oversimplify it, Britain is to many Australian corporations and to many Australians a gateway to the rest of Europe and equally Australia is increasingly to Britain and to other countries in Europe a gateway to the Asia Pacific region and there are of course a very large number of British companies which have their regional headquarters in Australia. There are a lot of similarities between the growth rates of the British economy and the growth rates of the Australian economy at present and whilst there are of course many dissimilarities we do have an opportunity to build a far more positive relationship. I want to congratulate your organisation Mr Russell on the foresight and the leadership that it is giving to the economic relationship between Australia and Britain and Australia and the whole of Europe. It is very important that we don't see the world in terms of self contained economic units.
It is very important that we embrace totally to the concept of globalisation and that although our future is very bound up with the Asia Pacific region and Britain's with the European Union, we are increasingly living in a world that is economically speaking and in so many other ways that it has become so completely globalised. And your organisation plays a very important role in that and is a very very important standard bearer in reminding Australians, Australian companies, Australian investors and most importantly Australian governments and State governments of the continued importance of the bilateral association between Australia and the UK and the continued importance, economically, politically, and socially of Australia's links with the entire European economy.
So can I congratulate ABE, can I thank you warmly for the courtesy that you have extended to me tonight for putting on this reception. I wish your organisation well and I thank it most warmly for the contribution it makes to building a better investment climate between Australia and Britain and reminding Australian companies of the immense value of the huge market represented by not only the European Union but the other nations of Europe.
Thank you.