Macquarie Bank's CEO Allan Moss: "The quality of our education system will be vital [but] the continued success of our universities is not a given." (July 19, 2007)

    On the occasion of the 40^th anniversary of International House at the University of Sydney the chief executive officer of the Macquarie Bank, Allan Moss told his audience "A lot has changed in the world in the past 40 years. Today, China and India, which were mostly separate from the West economically and culturally, are not only part of the global economy, society and culture, they have become the most important drivers of change."

Below are some excerpts of what he had to say:

Forty years ago... Australian assembly-line workers lived much better than most Chinese factory managers. Today, that may not be the case and tomorrow it certainly will not be so. In the

 future, what you do will be much more important than where you do it. Globalisation offers tremendous opportunities but there will be losers as well as winners.

 

The quality of our education system will be vital. It is education and the supply of skilled talent that will determine how much of our economy and how many of our people will be able to participate in high-margin professional services such as health, financial services and education, as well as specialised knowledge-intensive manufacturing such as medical technology.

 

Australian universities are recognised internationally as being world class. Our universities have outstanding academics and the great advantage of being located in a secure and delightful country. We therefore attract very large numbers of international students. By their very presence, they also help to educate Australian students, who will spend their lives in an increasingly global labour market and a very interdependent world.

 

However, the continued success of our universities is not a given. The international market for educational services is increasingly competitive. If our universities are to compete successfully for high-quality international students, it will be important for the Government to provide a supportive environment.

 

Financial encouragement is key but another very important element of support is freedom from overregulation. In the course of my career I have learnt a few things about how to compete successfully in global services markets. Sustained success is all about contributing special value. Delivering special value requires innovation.

 

Overregulation is the death of innovation. It is very important to the continued international success of Australian universities that they are given freedom to innovate - freedom to innovate in teaching, in research and in how they provide services to international students.

The future of Australia and all the people of the region will depend on education and on international co-operation and understanding.