since mid 2007 ; despite the significantly larger volume that has been brought to market ( graph 7 ). graph 7 deal structures have continued to evolve with further issuance of bullet tranches to manage prepayment risk. one recent deal was structured without a serial pay trigger, which has been the norm in recent years, apparently in anticipation of the changes to the apra ’ s prudential standard on securitisations outlined late last year. 7 2013 saw the first australian cmbs issue since 2011, and although volumes have remained low this has been followed by a further two transactions. issuance of other abs has remained strong, with 2013 recording the highest level of gross issuance on record with a sizable pick - up in australian dollar issuance. for an outline of apra ’ s proposed reforms to aps 120 see littrell c ( 2013 ), prudential reform in securitisation, presentation to the australian securitisation forum, sydney, 11 november. available at < http : / / www. apra. gov. au / speeches / documents / charleslittrell - australian - securitisation - forum11november2013. pdf >. one of the major thrusts of the proposed changes is the introduction in the prudential standards of the so called “ skin in the game ” for adi issued rmbs. rmbs issued since mid 2007 have typically included a serial pay trigger which after certain conditions are met, mainly satisfactory deal performance for several years after issuance, switch the principal payment order from paying tranches in order of seniority to paying all, or most tranches, proportionately to their outstanding amount. this feature was introduced in the market to address the higher cost on junior tranches in the wake of the global financial crisis and for adi sponsored rmbs, where the sponsor has been limited to hold no more than 20 per cent of the deal to qualify for capital relief, to cap the share of the rmbs held by the adi. bis central bankers ’ speeches corporates australian corporates have continued to have good access to bond markets both domestically and offshore, raising a total of $ 35. 1 billion of new bonds since the start of 2013 ( graph 8 ). while the amount issued has been less than in 2012, issuance that year was underpinned by significant bond issuance by the large australian miners. part of the reason for that strong issuance was that the miners were able to access the market at least

philip lowe : remarks at reserve bank board dinner remarks by mr philip lowe, governor of the reserve bank of australia, at the reserve bank board dinner, melbourne, 1 october 2019. * * * good evening. on behalf of the reserve bank board i would like to thank you for joining us at this community dinner. the board held its monthly meeting here in melbourne today. this was the first meeting that we have held in our new offices on collins street after last year selling our building on the corner of collins and exhibition streets. so even if we are in a different location, it is really good to be back in melbourne. as you are probably aware, at our meeting today, the board decided to cut the cash rate by a quarter of one per cent to 0. 75 per cent. this decision followed a detailed assessment of both global and domestic developments. globally, the main issue at the moment is the uncertainty generated by a series of geopolitical events, particularly the us – china disputes over trade and technology. understandably, this uncertainty is causing many firms around the world to sit and wait before proceeding with costly investment decisions. at the same time, many businesses are having to deal with disruptions to their supply chains. the result of all this is that after a period of reasonable growth in the global economy, the risks are clearly to the downside. central banks are responding to these downside risks by lowering interest rates. with inflation low – and expected to remain low – they are seeking to take out some insurance against the possibility of a noticeable slowdown in economic growth. from a longer - term perspective though, central banks have for some time been responding to fundamental shifts in the global appetite to save and invest. the underlying explanation for low interest rates globally is that the global appetite to save is high relative to the global appetite to invest. like many things in economics it comes down to supply and demand. when the global supply of savings is high relative to the global demand for funding to invest in new capital, the price of savings – or the global interest rate – is going to be low. there are certainly other factors at play as well, but savings and investment decisions are at the heart of the issue. this means that the key to a return to more normal interest rates globally is addressing the factors that are leading to the low appetite to invest, relative to the appetite to save. this is mainly a task for governments and businesses, not for central banks. whether or not this will happen,