• Europe’s financial system is going through ‘balkanization’
  • Society needs a debate on bank profitability levels
  • Road to restore trust will be a ‘long road back’
  • Central bank actions have prevented rurther damage
  • medium-term fiscal stability plans are more sensible
  • Short-term Eurozone austerity plans could prove to be detrimental

The Assistant Governor was speaking in a Q&A session in Melbourne