Australia will weather European crisis, says Westpac boss

2011-10-12 11:51:04

Australia's economy will weather the financial storm that will hit Europe, the Chief Executive of Westpac, one of the big four Australian banks, Gail Kelly said on Wednesday, Xinhua reported.
Kelly said Australia was "clearly affected" by what was happening in Europe.
"There is a deep concern about the long term future for Europe, " she said.
Kelly hopes Germany and France will stand together and recapitalize the banking system.
"We really need a comprehensive approach ...I am really hoping that that occurs, and even if that occurs we are in for a long hard slog in Europe."
However, she says Australia's geographic and trade connection to Asia has placed it in a healthy fiscal position.
"That really gives us the tools and wherewithal to reduce interest rates, should that be required," Kelly told Australia's Macquarie Radio.
"The underlying strength of our economy remains and we are in a much better shape than anywhere else," Kelly said.