NSW SMALL BUSINESS MINISTER NEGLECTS RESERVE BANK DATA THAT SHOWS THE SECTOR HAS BENEFITED FROM DEREGULATION. Sydney, 6 March, 2002: The Australian Bankers’ Association (ABA) says today’s media release from the New South Wales Minister for Small Business, Sandra Nori, has neglected to outline Reserve Bank of Australia data that shows how the small business sector has benefited from the deregulation of the financial services sector. The Reserve Bank data shows: the fall in interest rate margins has more than offset any increase in fees; the reduction in fees on loan products have offset increases in fees for deposit products. David Bell, Chief Executive of the ABA, said: "The interest rate margin savings on a $100,000 overdraft written in 2000 compared to 1997 are $1,400. Combined with savings of $220 in bank fees on the same overdraft (2000 compared to 1997), the small business would be ahead $1,620." "We are keen to see the debate on small business banking based on fact rather than incomplete information." Mr Bell said the most recent analysis on these issues can be found in the KPMG Consulting report - "Small Business Banking in Australia" (February 2002) which can be downloaded from the ABA website – www.bankers.asn.au For further information contact: Heather Wellard ABA PR Phone: 02 8298 0411 Mobile: 0409 830 439 ENDS