Australia

ESSENTIAL FACTS

LOCATION: 27 00 S, 133 00 E
Australia is the smallest of the seven continents and is between the Indian Ocean and the South Pacific Ocean.

POPULATION: 20,434,176
The Australian population is mostly located on the eastern and southeastern coasts.

CURRENCY: Australian dollar (AUD)

LANGUAGE: English, Chinese, Italian

CLIMATE: Australia has a dry climate in the east and south, and a tropical climate in the north.

EDUCATION: Australia has a 99 percent literacy rate.

PUBLIC HOLIDAYS: Australia Day, 26 January (1788); ANZAC Day, 25 April (1915)

HISTORY AND GOVERNMENT

HISTORY
Captain James Cook founded Australia in 1770 and claimed it for England, although Southeast Asians had been settled there for over 40,000 years. It officially became a Commonwealth in 1901. For a relatively late start, Australia quickly became a world player, assisting England in both World Wars and capitalizing on agricultural and industrial resources. Australia now enjoys a front-row seat in world affairs and the OECD has often reported on its fast-growing economy.

POLITICAL SYSTEM
Australia has a federal parliamentary democracy. The Queen of England appoints and is represented by Australia’s Governor General. The Prime Minister is elected, and then nominates his or her Deputy Prime Minister and government ministers.

The legislative branch of Australia’s government consists of a bicameral Federal Parliament, with a Senate and a House of Representatives.

JUDICIAL SYSTEM
Australia’s judicial system is based on English common law. The justices of the High Court are appointed by the Governor General.

COMMERCE AND TRADE

COMMERCIAL ACTIVITY
Agriculture: Wheat, barley, sugarcane, fruits, cattle, sheep, poultry
Industry: Mining, industrial and transportation equipment, food processing, chemicals, steel

TRADE PRACTICES
Exports: Coal, iron ore, gold, meat, wool, alumina, wheat, machinery and transport equipment to Japan, China, South Korea, US, India, New Zealand and the UK
Imports: Machinery and transport equipment, computers and office machines, telecommunication equipment and parts; crude oil and petroleum products from China, US, Japan, Singapore, Germany


BANKING, FINANCE AND INVESTMENT

FINANCIAL FACTS
Australia has a solid, robust economy. Its proximity to China has allowed for increased financial advantages as China continues to emerge as a major player in finance and industry. Its budget boasts a surplus for the last six years running. Export prices continue to rise, which boosts its maritime infrastructure.

Fiscal year: 1 July - 30 June

STOCK MARKET
Market value of publicly traded shares: $804.1 billion.

BANKING SYSTEM

MEMBERSHIPS

ADB, ANZUS, APEC, ARF, ASEAN (dialogue partner), Australia Group, BIS, C, CP, EAS, EBRD, FAO, IAEA, IBRD, ICAO, ICC, ICCt, ICRM, IDA, IEA, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC, MIGA, NAM (guest), NEA, NSG, OECD, OPCW, Paris Club, PCA, PIF, Sparteca, SPC, UN, UNCTAD, UNESCO, UNFICYP, UNHCR, UNMIS, UNMIT, UNRWA, UNTSO, UNWTO, UPU, WCO, WFTU, WHO, WIPO, WMO, WTO, ZC

BUSINESS

BUSINESS ENTITIES
Australian companies can establish as a Proprietary Company, either limited by shares or unlimited; or a Public Company, either limited by shares, or unlimited. Incorporation takes 24 hours. For Proprietary Companies, only one director is needed, but must be Australian; in addition, no secretary is required, but if there is one he or she must be Australian. For Public Companies, there must be at least three directors, of which two must be Australian. Both need only one other member registered. Annual meetings can be held anywhere in the world. Public registration and other recorded documents are freely available. Proprietary Companies with a large overseas presence are subject to annual audits; Public Limited Companies are not.

TAXATION

CORPORATE TAXATION
Worldwide net income is taxed at 30 percent. However, dividends to foreign parent companies from a branch or subsidiary based in Australia are tax-exempt.

OTHER TAXATION/DUTIES
There is a 10 percent tax on goods and services.

DOUBLE TAXATION
Australia is part of double tax treaties with more than 50 countries.