PM Transcripts

Transcripts from the Prime Ministers of Australia

Transcript 2681

STATEMENT BY THE PRIME MINISTER, THE RT HON WILLIAM MCMAHON CH MP IN THE HOUSE OF REPRSENTATIVES, CANBERRA - OUTWARD PORTFOLIO INVESTMENT - 28 SEPTEMBER 1972

Photo of McMahon, William

McMahon, William

Period of Service: 10/03/1971 to 05/12/1972

More information about McMahon, William on The National Archive website.

Release Date: 28/09/1972

Release Type: Statement in Parliament

Transcript ID: 2681

PRIME MINISTER
STATEMENT BY THE PRT-! E MINISTER, THE RT. HON.
WILLIAM 1-cIYV\ HON, C11, ~ P
IN THE HOUSE OF REPRESENTATIVES, CANBERRA
OUTWARD PORTFOLIO INVESTVIENT
28 SEPTEMBER, 1972
Following my announcement on policy changes in respect of
overseas investment, I now wish to give details of the new exchange
control policy which will apply for the time being to portfolio
investment abroad by Australian residents.
Persons or companies wishing to invest abroad should apply
by letter through their bankers for the necessary Reserve Bank
authority. Applications by individuals for amounts up to $ 10,000
in any period of twelve months in total will normally be readily
approved. Institutional investors, public companies and the like
can normally expect to be permitted to make inves-tments up to
$ 1 million in any period of twelve months. Applications for amounts
in excess of the amounts mentioned will be considered in special
circumstances. Eligible investments will include portfolio investment
overseas in stocks and shares and purchase of real estate, but
will not include investment in loans or other fixed interest
securities. The general arrangements will, of course, be subject to
review from time to time.
This policy change is the first significant relaxation in
the almosta~ mplete embargo on Portfolio investment overseas which
had operated since exchange control measures were introduced in
1939. Policy towards direct investment overseas has, however,
been very liberal for a number of years and will continue unchanged.

Transcript 2681