The Australian Banking Association has launched a blistering offensive against global tech and credit giants, accusing Apple, Visa, and Mastercard of "free-riding" on the nation’s financial infrastructure.
In a formal submission to a parliamentary inquiry, the lobby group argued that domestic lenders are bearing the "heavy lifting" for a payments system that international rivals exploit for profit without equivalent regulatory or financial obligations.
ABA CEO Simon Birmingham warned that current Reserve Bank of Australia regulations create an unlevel playing field. While Australian banks fund the security, fraud controls, and maintenance of the network, tech titans like Apple leverage this infrastructure to monetise transactions.
The tension is reaching a breaking point as the RBA proposes slashing interchange fees—a move banks claim will strip nearly $1 billion in revenue and render credit card transactions loss-making.
The dispute highlights a staggering tax disparity: while the "Big Four" Australian banks paid approximately $10 billion in taxes last year, Apple paid just $153 million on $12.5 billion in revenue, with Visa and Mastercard combined contributing a mere $3 million.
Furthermore, banks described the fees charged by card schemes as "complex and opaque," claiming they are nearly impossible to constrain through market forces.
RBA Governor Michele Bullock confirmed the central bank is prepared to use expanded powers to regulate mobile wallets and e-commerce platforms.
A final review of card payment costs is expected by late March, which may finally bring the "big tech" giants under the same regulatory umbrella as traditional Australian lenders.