Surging demand has helped Australia’s bond market finally come of age
A jump in issuance is great news for Australian investors and the federal government. But it has not always been this way.
Tim Hext
Updated
Australia has always punched above its weight in financial markets.
The country accounts for less than 2 per cent of the global economy, yet the currency has been the fifth or sixth most actively traded since the 1983 float. And a combination of strong governance, a stable economy and demand for foreign capital (at least in the past) meant Australia’s equity markets have long been considered a useful diversification for foreign investors.